Director Delinquency Declarations: Managing Your Risk
The rewards of company directorship come with a caution: the duties and responsibilities imposed on you by the Companies Act need constant management. Drop the ball on that and you could face some seriously negative consequences. We’ll discuss one of those risks – the career-threatening risk of being declared a “delinquent” director – in the context of two recent court judgments which involved large amounts of money, seriously disaffected stakeholders, and 7-year bans from holding any position at director or senior management level. We’ll end by sharing some thoughts on how you can manage those risks.
Prescription, Procrastination, and Personal Liability for Corporate Debts
“I have heard that in war, haste can be folly, but have never seen delay that was wise.” (Sun Tzu, The Art of War) Collecting debt from a recalcitrant debtor can feel very much like going to war, particularly if you have to slog through the trenches of a series of increasingly costly court battles. […]
What Can You do When a Director Deadlock is Killing Your Company?
“Diplomats operate through deadlock, which is the way by which two sides can test each other’s determination.” (Henry Kissinger) Running a business with a partner can work brilliantly – until it doesn’t. When co-directors or shareholders fall out and can no longer see eye to eye, the company can grind to a halt, meaning everyone […]