State any four legal provisions regarding Board Meeting.

Legal Provisions relating to Board Meeting:

(i) Authority to Convene:

The chairman of the Board is the proper authority to call the Board Meeting.

(ii) Number of Board Meetings:

• First Board Meeting shall be held within 30 days of the date of its incorporation.
• Subsequently, there should be four meetings in a year.
• The gap between the two meetings should not be more than 120 days.
• At least one Board meeting should be held in 6 months in case of one person company, small company and dormant company.
• The gap between two meetings should not be more than 90 days in the case of one person company, a small company, and a dormant company.

(iii) Notice [Section 173(3)]:

• The notice of every Board Meeting must be given to every director at least 7 days before the meeting at his registered address along with an agenda of the meeting.
• It can also be sent by post or by hand delivery or by E-mail.
• If a company fails to send notice within a given time, then every officer in default shall be liable to a penalty of Rs. 25,000.

(iv) Quorum (Section – 174):

• The quorum for the Board Meeting is 1/3rd of the total number of directors or two directors whichever is higher.
• Any fraction should be rounded to one.
• Interested directors (personal interest in any matter) are not included in the quorum.