DIRECTOR

director (di-rek-t<<schwa>>r).1. One who manages, guides, or orders; a chief administrator.

2. A person appointed or elected to sit on a board that manages the affairs of a corporation or other

organization  by  electing  and  exercising  control  over  its  officers.  —  Also  termed  trustee.  See

BOARD OF DIRECTORS . Cf. OFFICER(1).

affiliated director.See outside director.

class director. 1. A director whose term  on a corporate board is staggered  with those  of the

other  directors to  make a  hostile takeover  more difficult. 2.  A director elected  or appointed to a

corporate board to represent a special-interest group, e.g., the preferred stockholders.

dummy director.A board member who is a mere figurehead and exercises no real control over

the corporation’s business. — Also termed accommodation director; nominal director.

inside  director.A  director  who  is  also  an  employee,  officer,  or  major  shareholder  of  the

corporation. [Cases: Corporations    310(1). C.J.S. Corporations §§ 475, 477–484, 487–489.]

interlocking  director.A  director  who  simultaneously  serves  on  the  boards  of  two  or  more

corporations that deal with each other or have allied interests.

outside director.A nonemployee director with little or no direct interest in the corporation. —

Also  termed  affiliated  director.  [Cases:  Corporations    310(1).  C.J.S.  Corporations  §§  475,

477–484, 487–489.]

provisional  director.A  director  appointed  by  a  court  to  serve  on  a  close  corporation’s

deadlocked board of directors.

public   director.A   director   elected   from   outside   a   corporation’s   shareholders   or   an

organization’s membership to represent the public interest. [Blacks Law 8th]