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Section 719 of The Companies Act No. 17 of 2015: Term of office of auditors of private company

    

(1) An auditor or auditors of a private company hold office in accordance with the terms of their appointment, subject to the requirements that—
(a) they do not take office until any previous auditor or auditors cease to hold office; and
(b) they cease to hold office at the end of the next period for appointing auditors unless reappointed.
(2) If no auditor has been appointed by the end of the next period for appointing auditors, any auditor in office immediately before that time is taken to be reappointed at that time, unless—
(a) the auditor was appointed by the directors;
(b) the company's articles require actual reappointment;
(c) the re-appointment that is taken to be made under subsection (2) is blocked by the members under section 720;
(d) the members have resolved that the auditor should not be reappointed; or
(e) the directors have resolved that no auditor or auditors should be appointed for the financial year concerned.
(3) Subsection (2) does not affect provisions of this Part relating to the removal and resignation of auditors.
(4) In assessing the amount of compensation or damages payable to an auditor on ceasing to hold office, no account may be taken of the loss of opportunity of the auditor being re-appointed by the operation of subsection (2).

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Disclaimer: This document is not to be taken as legal advise.

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