Rules Regarding the Appointment of Alternate Director

                                               Companies Act, 1956

                                  (Rules Regarding the Appointment of Alternate Director)

Under sec. 313 (1) of companies act the board of directors of the company can appoint alternate Director. They are the only authority who is  authorized and can appoint, by passing a resolution by company in general meeting, and the appointed person will act for a director  during his absence for a period of not less than 3 Months from the state in which meetings of the Board is going to held.

Under section 313 (2) an alternate director who is appointed under sub-section (1) should  not hold office for a period longer than that permissible to the original director in whose place he/she has been appointed and should vacate office and when the original directors returns to the state in which meetings of the Board is going to  held.

      And under sub-section (3) of sec. 313 it is mentioned that," if the term of office of the original director is determined before he  returns to the state, any provision for the automatic re-appointment of retiring directors in default of another appointment shall apply to the original, and not to the alternate director"