Are you stressed, is your blood pressure up….not that type of health check, a Directors’ Liability Check:
- Do you know that if you breach your directors’ duties you may be personally liable?
- Do you know this can include liability for compensation, civil and criminal penalties?
Symptoms – How to check
- Do you understand your legal duties as a director?
- Do you comply with these duties?
- What insurance cover does the company have to protect you as director?
- Does your company provide you with Indemnity?
What can cause the symptoms?
Have you and your company complied with the laws relating to:
- Occupational Health and Safety
- Environmental Protection
- Competition and Consumer Regulations
- Corporate and Financial Regulations
- Insolvent Trading
Is your blood pressure starting to rise again?
Who can hold you liable as director?
- The company of which you are a director
- The company’s shareholders
- A liquidator
- ASIC (Australian Securities and Investment Commission)
- APRA (Australian Prudential Regulatory Authority)
- Other regulatory bodies
How to treat your symptoms to make you feel better?
- Mitigate your risk through directors’ and officers’ insurance and company indemnities
- Understand your duties and how to fulfil them
- Ensure best corporate governance standards are met by your company
- Understand the Business Judgement Rule
- Ensure your company never trades insolvently
Is your blood pressure still not returning to normal – Are you a director and you are not sure you are protected?
The Commercial team at Bell Legal Group can assist you with treating your symptoms and ensure you understand your duties as a director and how to mitigate risks as a director.