What is a nominee director and is it legal?
A nominee resident director is a legally appointed director, not a name rented without responsibility. The appointment can satisfy the residence requirement if the person qualifies. Written terms may limit routine operational involvement, but cannot remove statutory duties to the company. Indemnities are subject to legal limits and beneficial-ownership disclosures remain necessary.
Sources: Companies Act 2016 ss.196, 213, 217, 288–289SSM BO guidelines
Also asked as: nominee director malaysia legal ke; rent a director; pengarah nominee; resident director service.
Our engagement sets out the annual fee, applicable deposit and operational boundaries. The nominee must still exercise independent judgment and act in the company's interests. Sections 288–289 restrict indemnification; no agreement provides complete immunity. A resignation must also comply with the statutory minimum-director requirements.
Key facts
- Ordinary residence must satisfy section 196
- Directors' duties continue despite contractual boundaries
- Indemnities and resignation rights are legally limited
Call +60 10-383 5988 (a licensed secretary replies within one working hour (Mon–Fri 8:30am–5:30pm MYT; outside hours, first thing next working day)) or walk in at J-3A-15, Solaris Mont Kiara.