Generally, companies are at liberty to appoint whomever they elect to serve as directors in their company, particularly private companies. However, the Companies and Allied Matters Act expressly disqualifies certain people from holding the position of a director in a company. These disqualifying factors are laid out in Section 283 thus:

(a) an infant (a person under the age of 18 years);

(b) a lunatic or person of unsound mind;

(c) a person suspended or removed upon the expiration of his directorship term;

(d) Insolvent person or persons that have been found guilty by a court of an offence involving fraud;

(e) Another Corporate body, other than its representative, appointed to the board for a given term.

It is important to note that the acts of a director are valid notwithstanding any defect that may subsequently be discovered in his appointment or qualification.

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