| 20 May 2024

Dr Saleem Sheikh is the author of Company Law Handbook.

This is included in our Company and Commercial Law service.

What first attracted you to working in Company Law?

Whilst researching for a PhD thesis subject, I encountered a legal article by Professor Lord Wedderburn of Charlton (who later became my supervisor) on CSR. This addressed issues on corporate governance, directors’ duties, wider stakeholders and the legal and practical implications for companies engaging in CSR matters. It also addressed philanthropy and the wider issue of the separation of ownership and contract, including the interrelationship between other areas of law and company law such as the Trusts Law, Contract Law, Matrimonial Law and the issue of assets vested in the company, and Employment Law.

It was timely because during that period, Sir Adrian Cadbury published a consultation paper on corporate governance, to which I submitted a written submission suggesting directors’ wider accountability towards various stakeholders, including creditors, employees, suppliers and the wider community.

There was not much written on the CSR or corporate governance subject areas during the early 1990s. My search for further information on these areas led me to visit various universities in the US, which was ahead of the UK on these topics, particularly the works of Berle and Means, Dodd and Manne. Drawing upon the inspiration of the principles derived from CRS and corporate governance in the US, I was able to apply them to the UK context addressing directors’ duties, board leadership, the role of employees within corporations and business ethics. I also applied them to companies dealing with suppliers and environmental issues, as well as how companies perceived CSR in UK and extent of their involvement within local communities.

Having published my PhD thesis, I went on to write books on corporate governance related topics including Corporate Governance and Corporate Control and Corporate Governance Law and Practice.

What has been the biggest change to Company Law over the last 12 months?

The Economic Crime and Corporate Transparency Act 2023. The Act is a major overhaul of Companies House and the registrar’s role. This has simplified certain corporate processes and enabled more transparency in corporate dealings. Significant changes include:

  • Verification of directors appointed to the company
  • Reduction of statutory registers and a move towards central register filing
  • Clearer functions and objectives of the registrar
  • Clarity on use of corporate/business names
  • Tackling economic crime
  • Addressing directors’ residential addresses
  • Increase in filing fees
  • Criminal offences where directors make false or misleading statements upon filing documents

What challenges do you foresee presenting themselves within UK Company Law over the next couple of years?  

  • The ability of company law to address matters such as climate change disputes and increase litigation against companies in this area
  • How derivative claims could be brought against directors for various claims to protect the company’s interests
  • The extent of judicial interference and scrutiny in directors’ management decisions
  • New developments in common law and equity and their interaction with the Companies Act 2006

What is the most challenging aspect of your job?

Ensuring any research conducted is up to date with current development in company law and analysing new areas of company law from a practical perspective.