disqualification (noun, dis-qual-i-fi-ca-tion, \ dɪsˌkwɑːlɪfɪˈkeɪʃn \) directors (noun, di-rec-tors, \ dəˈrektərz \)
Definition: is the process of removing an individual that holds the office as a director from his position in case he didn’t uphold his legal responsibilities. The list of possible disqualification reasons includes personal insolvency, bankruptcy, and a court order relating to fraud. Ordinarily, the disqualification of a director lasts for a period of five years or until the end of his prison sentence. During that time, the banned individual can’t become the director of a firm or be involved with the creation or management of an organization.
In a Sentence:
- After being issued a debt relief order, the board conducted a disqualification of directors meeting to fire Mr. Hendricks from his post.
- The disqualification of directors took place after it was revealed that several directors were involved in fraudulent trading.
- They’re risking receiving a disqualification of directors if they fail to submit their annual returns to the Companies House by tomorrow.
Synonyms and related words: disqualification order, fraud, unfit conduct, dismissal of directors, company director
