The Managing Director Contract Of Employment is essential when appointing senior executives in companies operating under English and Welsh law. This contract type is specifically tailored for director-level appointments, combining standard employment terms with specific provisions required for board-level positions. It addresses key areas including fiduciary duties, strategic responsibilities, executive compensation, and corporate governance requirements. The document ensures compliance with UK company law while protecting both the company's and the director's interests.
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1. Parties: Identification of the company and the managing director
2. Background: Context of the appointment and any relevant company information
3. Definitions: Key terms used throughout the agreement
4. Appointment and Term: Role specifics, commencement date, and duration
5. Duties and Responsibilities: Detailed description of MD's role and obligations, including statutory and fiduciary duties
6. Remuneration: Salary, benefits, pension arrangements and review procedures
7. Working Hours and Location: Expected time commitment and place of work
8. Holiday Entitlement: Annual leave and public holidays
9. Expenses: Policy on business expenses and reimbursement
10. Termination: Notice periods, grounds for termination, and payment in lieu of notice
11. Confidentiality: Protection of company information and trade secrets
12. Data Protection: Compliance with data protection laws and privacy regulations
13. General: Miscellaneous provisions including governing law and entire agreement
1. Share Options: Details of any share schemes or equity participation arrangements
2. International Travel: Requirements and arrangements for international business travel
3. Garden Leave: Terms and conditions of garden leave during notice period
4. Post-termination Restrictions: Non-compete, non-solicitation, and other restrictive covenants
5. Intellectual Property: Rights and obligations regarding IP created during employment
6. Corporate Governance: Additional governance requirements for listed companies
1. Schedule 1 - Job Description: Detailed outline of responsibilities and expectations
2. Schedule 2 - Bonus Scheme: Details of performance-related compensation and metrics
3. Schedule 3 - Company Policies: List of key policies the MD must comply with
4. Schedule 4 - Benefits Package: Comprehensive breakdown of additional benefits
5. Schedule 5 - Share Option Terms: Terms and conditions of any share options or equity arrangements
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