Director Agreement

Create quality director agreements with instant document builder of Lawpath. Set clear director appointment terms, services, and pay. Draft yours now!

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Last updated November 11, 2025

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Suitable for Australia

Director Agreement

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What is a director agreement ?

A director agreement is a legal document that sets out the terms, responsibilities, and remuneration for a director appointed to a company’s board.
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When should you use a director agreement ?

Use a director agreement when formally appointing a director to a company, to clearly define their role, powers, and compensation from the outset.
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What should be in a director agreement ?

A director agreement should include appointment terms, duties, remuneration, leave entitlements, confidentiality, and any restrictions such as non-compete or non-solicit clauses.
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Frequently asked questions

What is a director agreement ?

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When should you use a director agreement ?

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What should be in a director agreement ?

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Who can be covered by this agreement?

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What protections does this agreement provide for the company?

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Are there any limitations to this agreement?

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What steps should I take after completing the agreement?

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View Sample Director Agreement

Director Agreement
risk level indicator at Low level

The Legal Risk Score of a Director Agreement Template is Low

Our legal team have marked this document as low risk considering:

  • The document grants the board of directors considerable discretion in determining and delegating the specific powers and rights of the director, which could lead to uncertainty about the director's role and responsibilities.
  • The director's obligation to devote their entire business hours to the company without entitlement to additional remuneration beyond the specified salary and superannuation could be restrictive and potentially unappealing for prospective directors who might seek more flexible or lucrative arrangements.
  • The director’s entitlements to holidays and other leave are subject to the approval of the board, which may limit the director's ability to freely plan and take leave according to personal or professional needs.

Articles about Director Agreement

Everything Company Directors Should Know About Liabilities
By Angela Omari|Nov 26, 2025

Everything Company Directors Should Know About Liabilities

Liabilities of directors can take many forms. What if you could avoid being personally liable when things go wrong? Find out all the details.

How to Deal with Director Disputes in Your Company
By Gopi Giri|Sep 17, 2019

How to Deal with Director Disputes in Your Company

Director disputes are highly common. They can significantly impact the workplace and a company's performance. Here are some ways to deal with them.

What Are Director Fees?
By Timothy Quinn|Aug 20, 2024

What Are Director Fees?

Learn all about director fees and how to manage the tax obligations that arise from these payments.

Directors’ Roles in Shareholders Agreements
By Gopi Giri|Dec 4, 2025

Directors’ Roles in Shareholders Agreements

There's no one correct form of shareholders agreement. This raises the question, what should you include in your shareholders agreement? Find out here.

Can I Be a Company Director If I’m Bankrupt?
By Ilyas Omari|May 22, 2024

Can I Be a Company Director If I’m Bankrupt?

Have you ever wondered if you can be a company director if you are bankrupt? Read this article to find out.

How to Pay Yourself as a Company Director: A Complete Guide
By Ilyas Omari|May 28, 2025

How to Pay Yourself as a Company Director: A Complete Guide

Can you pay yourself if you're a company director? Read along to know the various options available to you and pay yourself like a pro.

What to Know Before Becoming a Company Director
By Daniel Fane|Dec 4, 2025

What to Know Before Becoming a Company Director

If you are about to be appointed as a company director, you must be aware of the duties to your company and your legal obligations. Read about them here.

When Directors Are Liable for Company Debts
By Christopher Tsiknas|Dec 5, 2025

When Directors Are Liable for Company Debts

Are you a company director? Here’s when you’ll be liable for company debts.

Can Directors Have a Criminal Record?
By Eamon Fraser-Crooks|Dec 3, 2025

Can Directors Have a Criminal Record?

A criminal record can impact your ability to act as a company director. Read this article to learn when convictions could stop you from being a director.

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