Ms Rachael Markham

Rachael Markham

Updates

Company & Commercial

When is a decision to declare an interim dividend a decision?
United Kingdom | 28 January 2019

Small businesses often structure payments to directors who are also shareholders using a combination of dividend payments and salaries. At a time when corporate governance and director and shareholder accountability are under review, a recent Court of Appeal decision gives more reason for directors to ensure that they understand not only their obligations and duties as directors under the Companies Act 2006, but also the implications of relying solely on advice without evaluating it first.