1.3. Duty to exercise independent judgment (section 173)
A director must exercise independent judgment.
This could prevent or restrict your ability to delegate your powers as a director, for example delegating a decision to a professional adviser. This is not to say that you will be prevented from relying on advice, as long as you exercise your own judgment in deciding whether or not to follow that advice.
However, the duty will not be infringed if you act in accordance with an agreement entered into by the company that restricts the future exercise of the directors' discretion or in a way authorised by the company's constitution. Therefore any powers of delegation should be set out in the articles.
If you have any question on any of those matters, or on any of the matters covered below, whether now or in the future, you should contact David Heys at Lawson-West on 0116 212 1027 or by email at dheys@lawson-west.co.uk.
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