Ontario Barrister and Solicitor Practice Exam

What is the minimum number of directors required for a newly incorporated company with 2 shareholder/owners?

1. 1 director

2. 2 directors

3. 3 directors

4. No minimum requirement

The correct answer is: 1 director

The minimum number of directors required for a newly incorporated company with 2 shareholder/owners would be one (A). This is because in most states, a company can be incorporated with only one director. Additionally, having only one director allows for streamlined decision-making and avoids potential conflicts between multiple directors. B, C, and D are all incorrect because they require more than one director. While some states may allow for a company to be incorporated with 2 or 3 directors, the minimum requirement is typically only one. D, with no minimum requirement, is also incorrect as most states do have a minimum requirement for directors in a newly incorporated company. It is important to check the specific laws and regulations in the state where the company is being incorporated to ensure compliance with the minimum director requirements.