ADVOKS GLOBAL · KENYA
Companies Act
181. Amounts taken to be payments for loss of office
Edition: 2024-12-27 · In force
181. Amounts taken to be payments for loss of office
(1)This section applies if, in connection with a transfer of the kind referred to in section 183 or 184, a director of the company—(a)is to cease to hold office; and(b)is to cease to be the holder—(i)of any other office or employment in connection with the management of the affairs of the company; and(ii)of any office or employment in connection with the management of the affairs of any subsidiary undertaking of the company.(2)If in connection with any such transfer—(a)the price to be paid to the director for shares in the company held by the director is in excess of the price that could at the time have been obtained by other holders of similar shares; and(b)any valuable consideration is given to the director by a person other than the company, the excess, or the money value of the consideration, is taken for the purposes of those sections to be a payment for loss of office.