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Executive directors and officers

Last updated May 2024

This chapter explains the roles, rights, obligations and liabilities of executive directors and officers of a company.

What is the role of an executive director?

Executive directors are people who are directors of a company for which they are also an employee.

Definition: Director

Under the Corporations Act 2001 (Cth), a director will (unless the company’s constitution provides otherwise) have the power to manage the business of the company.
Definition: Company

A company is a type of body corporate formed under the Corporations Law. It has a separate legal existence from that of its owners, managers, operators, employees and agents.
Definition: Corporations Law

The Corporations Law refers to the Commonwealth statute, the Corporations Act 2001 (Cth), which regulates corporations in Australia.

Often the chief executive officer, chief financial officer or managing director will be executive directors.