§ 5226 Director Resignation Restrictions

• •A director of a company can't just quit if it means the company would have no directors left.
• •If a director wants to quit and it would leave the company with no one in charge, they have to tell the Attorney General first.
• •This rule is to make sure a company always has someone responsible for running it.

Imagine a small company with only one director who decides to quit.

The director can't just leave because then there would be no one in charge. They have to tell the Attorney General first so the company isn't left without a leader.