Independent Directors, Managers, And Springing Members: What Are They?Registered Agent
Lenders may require independent personnel and independent manager to serve on boards of single purpose entities (SPE’s). SPE’s are created to protect assets in large real estate transactions. Independent personnel also play a critical role for an entity in distress.
An Independent Director is a member of the board of directors of a company who does not form part of the executive management team. They are not employees of the company or affiliated with it in any other way and are differentiated from inside directors, who are members of the board who also serve or previously served as executive managers of the company. Typically the duties of an Independent Director are defined and limited by the organizational documents of an entity as well as a separate agreement with the Independent Director.
Do you have questions about Independent Director, Manager, or Springing Member offerings? Contact our Legal Services Division at (844) 392-7588 and we can help you.