Members Area
    
 
   

CIVIL LAW

Company Law - Directors

 Select Topic
 
 Related Topics
Feedback/Reviews/Blogs


When is a director personally liable for company debts?

 

In this topic will give you everything you need to know about the liability of a company director for reckless trading.  It is an important topic, because many people think that the limited liability of the company protects the Directors absolutely against any claim that a creditor might have in the future.    That is not the case.

 

In general, the limited liability the company does mean that the Directors are protected in the normal course of their actions as Directors.  If the company goes bust creditors are not able to sue the Directors except in special circumstances.

 

We will outline the special circumstances as well as give you details of a High Court decision as late as 2004 which sets out the application of the specific rules.

 

The two sections to look at in the Companies Act 1993 are sections 135 an-

.....The first part of this topic has been displayed free of charge. Join up for $45 to have access to this and all other topics!


Feedback/Reviews/Blogs
"I found all this Company Law stuff really helpful. Not too academic but enough to get a really good grounding in some of the pitfalls. You need to read all the company topics to get a handle on this huge area. Anthony - Christchurch - April 2007"
Feedback/Blogs/Reviews from related topic: Civil Law and Claims
"I liked you Civil Index. Not much need for family or criminal but you civil index is very good to have at my fingertips. Thanks for providing this service T. (name withheld)"
"Great assistance. I agree with the above. Your civil topics are great. Better than we get at Polytech where I am studying Business Law. Terry -Dunedin - June 2007"
Feedback/Blogs/Reviews from related topic: Civil Law and Claims
"I found all this Company Law stuff really helpful. Not too academic but enough to get a really good grounding in some of the pitfalls. You need to read all the company topics to get a handle on this huge area. Anthony - Christchurch - April 2007"
Feedback/Blogs/Reviews from related topic: Civil Law and Claims
"I found all this Company Law stuff really helpful. Not too academic but enough to get a really good grounding in some of the pitfalls. You need to read all the company topics to get a handle on this huge area. Anthony - Christchurch - April 2007"
"it is utterly unfair that a debtor can get away with not paying, and often does simply because the creditor doesn't have the money (because the debtor didn't pay!) to go through all of this process. I'm sickened by the proceess which has seen me now not only being ripped off by this debtor, but then(and still) by the debt collector I folishly decided to use because I couldn't afford the intial legal fees (due to not being paid by the debtor!). Court has finally decided in our favor, but debtor still hasn't paid and I have to find more yet money to apply to have him liquidated, without any promise of getting anything back."
Feedback/Blogs/Reviews from related topic: Civil Law and Claims
"I found all these contract topics interesting and helpful. JD. Napier December 2006"
 Select Topic
 
 Related Topics