If a director of a private limited company in India dies, will their spouse get the profits of the company later?

Question

If I am a director in a private limited company in India with a friend, and I die after some years, will my wife get the profits of the company?

Answer 1

Directors don’t own companies - they manage them

Shareholders own companies.

So, if you are a director and die, the legal upshot is you are no longer a director and the company may need to replace you in accordance with its rules.

If you are a shareholder, then, subject to any other contracts like a option for the company or other shareholders to buy the shares of a deceased shareholder, the shares will be distributed in accordance with your will or the laws of intestate succession if you don’t have a will. Whoever owns the shares with have the same rights as you did.