Section 198A — Corporations Act 2001 (Cth)

(1) The business of a company is to be managed by or under the direction of the directors.

Note: See section 198E for special rules about the powers of directors who are the single director/shareholder of proprietary companies.

(2) The directors may exercise all the powers of the company except any powers that this Act or the company’s constitution (if any) requires the company to exercise in general meeting.

Note: For example, the directors may issue shares, borrow money and issue debentures.

Related sections

• s 195 — Restrictions on voting—directors of public companies only
• s 196 — ASIC power to make declarations and class orders
• s 197 — Directors liable for debts and other obligations incurred by corporation as trustee
• s 198B — Negotiable instruments (replaceable rule—see section 135)
• s 198C — Managing director (replaceable rule—see section 135)
• s 198D — Delegation

Research how courts apply s 198A

BriefBridge searches Australian caselaw by meaning — every answer cited to the paragraph.