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HomeCorporations CodeCh. 3§ 306 Corporate Director Appointment

§ 306 Corporate Director Appointment

Corporations Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 306 Corporate Director Appointment

Key Takeaways

  • •If a company has no leaders (directors) left because they all quit, died, or can't do their job, a court can step in to pick new leaders.
  • •This also happens if the company was just started and no leaders were ever chosen, and the people who started the company are all gone or can't work.
  • •Anyone who cares about the company (like an owner or worker) can ask the court to fix this.

Example

A small tech company has 3 directors, but all of them quit suddenly. Now, no one is in charge to make big decisions.

Since there are no leaders left, someone who works at the company can go to court and ask a judge to pick new directors so the company can keep running.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 306 Corporate Director Appointment

If (a) a corporation has not issued shares and all the directors resign, die, or become incompetent, or (b) a corporation’s initial directors have not been named in the articles, and all the incorporators resign, die, or become incompetent prior to the election of the initial directors, the superior court of any county may appoint directors of the corporation upon application by any party in interest. (Amended by Stats. 2000, Ch. 485, Sec. 6. Effective January 1, 2001.)

Last verified: January 23, 2026

Key Terms

corporationdirectorsincorporatorssuperior courtparty in interest

Related Statutes

  • § 304 Director Removal For Misconduct
  • § 9310 Corporate Membership Rules
  • § 12402 Replacing Lost Membership Certificates
  • § 12403 Corporate Membership Admission Rules
  • § 12443 Creditor Actions Against Members

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Corporations Code. Section 306.
View Official Source