Glossary · Corporate Law
Board of Directors
The collective body of elected or appointed directors legally responsible for managing the affairs of a company.
Every company must have a Board with at least 2 directors for a private and 3 for a public company. Listed companies must have at least 1/3 independent directors and 1 woman director. The Board meets at least 4 times a year with a gap of less than 120 days between meetings. Board meetings require a 7-day notice and quorum of 1/3 of total strength or 2 (whichever is higher). Minutes are recorded and signed within 30 days.
Examples
A listed company's Board of 12 directors includes 4 independent directors, the CEO, the CFO, and 7 non-executive directors.