Scottish National Investment Bank Act 2020

10 Directors: tenure

(1) The articles of association must provide that—

(a) the period of a non-executive director’s appointment is to be a period, not exceeding 5 years, specified by the Scottish Ministers when making the appointment,

(b) a person may be appointed to the office of non-executive director more than once,

(c) no person may hold the office of non-executive director for a cumulative period exceeding 8 years.

(2) The articles of association must provide that a person ceases to hold the office of director as soon as—

(a) the person ceases to be a director by virtue of any provision of the Companies Act 2006 or is prohibited from being a director by law,

(b) the person becomes insolvent, meaning—

(i) the person’s estate has been sequestrated,

(ii) the person has granted a trust deed for, or entered into a composition contract with, creditors,

(iii) the person has been adjudged bankrupt,

(iv) a voluntary arrangement proposed by the person has been approved,

(v) the person’s application for a debt payment programme has been approved under section 2 of the Debt Arrangement and Attachment (Scotland) Act 2002,

(vi) the person has become subject to any order or arrangement analogous to any of those described in sub-paragraphs (i) to (v) anywhere in the world,

(c) a registered medical practitioner who is treating the person gives a written opinion to the Bank stating that the person has become physically or mentally incapable of acting as a director and may remain so for more than 3 months,

(d) notification is received by the Bank from the person that the person is resigning from office, and such resignation has taken effect in accordance with its terms.