Special notice of resolution to remove auditors
IN LIGHT OF THE ECONOMIC CRIME & CORPORATE TRANSPARENCY ACT 2023, THIS TEMPLATE IS CURRENTLY UNDER REVIEW.
This template is a letter that can be sent by a shareholder to a company giving special notice under section 511 of the Companies Act 2006 of the shareholder’s intention to propose a resolution to remove the company’s auditor and appoint a new auditor.
Why special notice is required
Special notice is required for a resolution to remove an auditor from office. Where special notice is required, the resolution is not effective unless it complies with section 312 of the Companies Act 2006.
This means notice of the intention to move the resolution must be given to the company at least 28 days before the meeting at which the resolution is moved.
Company and auditor steps after notice is received
On receipt of the notice, the company must send a copy of the special notice to the auditor concerned.
The auditor has the right to make a statement of its case. The company must then send the auditor’s response to the members before the meeting. If the response arrives too late, it must be read at the meeting if the auditor asks for this to be done.
The auditor can also ask to speak at the meeting where the resolution will be considered.
Special notice of resolution to remove auditors is part of Corporate. Just £38.50 + VAT provides unlimited downloads from Corporate for 1 year.