A breach of directors duties in a company can have serious consequences. This could mean a director may become personally liable for the company’s debt and in the worst case situations it could lead to criminal sanctions.
Directors duties are mainly covered in sections 131, 133, 134, 135, 136 and 137 of the Companies Act 1993. Depending on the circumstances of the situation, a director may also have defenses to any alleged breach. However, if an allegation is ignored, particularly if the allegation is made by a liquidator, this may have consequences that could be avoided or mitigated if the director seeks competent advice.
If you are being pursued for an alleged breach of your directors duties, contact us to discuss how we can help.
Other areas in Consulting: Insolvent Transactions, Overdrawn Current Accounts, PPSR Priorities and Enforceability
