Resignation as director
My business partner and I set up a small IT company. He organized and formed the company I just signed the documents so I am not sure how the whole system works. We have now had a falling out and I want leave the company and resign as a Director. The problem is, we have one client and if I leave the company, the project I have been working on will come to a halt and there is a possibility they may sue the company. My question is, if they file legal proceedings after I have resigned, will I still be held liable? Or would it be the remaining directors responsibility to find a replacement for me?
By law a company is a juristic person, so it can sue and be sued like a person. It has limited liability, meaning the directors cannot be held responsible for its debts or liabilities unless in some special cases like fraud. Once you resign as a director you are no longer part of the company and as a result you will not be liable for law suits brought for breach of contract. Your surviving directors must simply outsource or find someone else to do the job.