A person appointed as a director will perform all the duties and functions of a director as per the provisions of the Companies Act, 2013 (“Act”).
The Act lays down the provisions regarding the appointment, rights and duties of the directors. Any person appointed as a director of a company has the freedom to be a director in another company. However, Section 165 of the Act states the provisions relating to the number of directorships a person can hold at a given time.
Section 165(1) of the Act states that a person can hold the office of director simultaneously in 20 companies. The number of 20 companies includes the office of alternate directorship. A person cannot be a director in more than 20 companies at a given time. However, the maximum number of public companies in which a person can be a director simultaneously is 10.