Directors' service agreements

Directors' service agreements set out the contractual relationship between a company and its directors. They clarify duties, pay, notice periods, restrictive covenants, and exit provisions, while protecting the company's confidential information, clients, and reputation.

Whether you're appointing a new director or reviewing existing arrangements, our employment solicitors provide clear, commercially focused advice.

Legal advice for companies drafting or updating directors' service agreements

A well-drafted directors' agreement helps avoid disputes and ensures everyone understands their obligations from day one. We work with businesses of all sizes to prepare tailored contracts that reflect the seniority of the role and your company's long-term interests.

Our employment solicitors regularly advise on:

• Bonus and incentive schemes
• Confidentiality and intellectual property clauses
• Dispute resolution provisions
• Duties and statutory obligations
• Equity arrangements and share options
• Fiduciary and regulatory responsibilities
• Garden leave clauses
• Notice periods and termination rights
• Post-termination restrictions
• Remuneration and benefits packages

We also assist with updating agreements in response to business growth, investment rounds, or changes in role or structure.

Support for directors reviewing their service agreements

If you're stepping into a new director role—or being asked to sign revised terms—it's important to understand what you're agreeing to. We advise directors, founders, and senior executives on the implications of their service agreements and help negotiate fair terms.

We regularly support individuals with:

• Aligning obligations as director and shareholder
• Bonus and commission protections
• Clarifying restrictive covenants
• Exit planning and negotiated departures
• Identifying unreasonable or risky clauses
• Navigating notice periods and termination terms
• Protecting reputation and confidentiality
• Reviewing new service agreements
• Securing favourable contractual terms
• Understanding equity and share entitlements

Whether you're joining a board, negotiating your exit, or reassessing your obligations, we'll provide clear advice tailored to your role and risk profile.

Contact our employment solicitors

We advise companies, directors and senior executives nationwide from our offices in London, Bath, Brighton, Eastbourne, Hastings, and Ulverston.

If you need advice on directors' service agreements—whether drafting, reviewing or negotiating—get in touch with our employment law team today.