Versions

 

1062. Additional duties of directors of protected cell companies

Past version: effective from 14/06/2015 - 13/06/2015
To view other versions open the versions tab on the right

(1) A director of a protected cell company must exercise his powers and must discharge his duties in such a way as shall best ensure that—
(a) the cellular assets of the company are kept separate and are separately identifiable from the non-cellular assets of the company, and
(b) the cellular assets attributable to each cell of the company are kept separate and are separately identifiable from the cellular assets attributable to other cells of the company.
(2) A director of a protected cell company must ensure, when the company enters into an agreement in respect of a cell of the company—
(a) that the other party to the transaction knows or ought reasonably to know that the cell company is acting in respect of a particular cell, and
(b) that the minutes of any meeting of directors held with regard to the agreement clearly record the fact that the company was entering into the agreement in respect of the cell and that the obligation imposed by subsection (a) was or will be complied with.
(3) If a director fails to comply with the requirements of subsection (1) or subsection (2), a contravention of these Regulations is committed by him.
(4) A person who commits the contravention referred to in subsection (3) shall be liable to a fine of up to level 4.
(5) The duties of a director of a protected cell company under this section are in addition to those under Chapters 2 and 3 of Part 10 (general duties of directors, etc.) of these Regulations.