Directors can be liable for a number of different personal claims relating to their company activities - especially if the business is facing or has gone in to liquidation. Our experts regularly deal with claims against directors, including director disqualification claims, claims by shareholders and claims by liquidators and administrators. Let us help. Call today.
Whilst it is true that directors of limited companies normally benefit from a limited liability status, there are circumstances where that protection can be removed and directors may become subject to personal claims against them – either following the insolvency of a company or arising from general breaches of their duties.
In such circumstances it is vitally important to take legal advice in order to protect your position.
- the law relating to personal claims against directors can be complex, but with proper advice, many of those claims can be defeated;
- failure to deal with such claims could result in proceedings being issued and court orders being made against you personally, ultimately leading to a loss of your personal property and perhaps even bankruptcy.
Personal claims against directors come from all different sources, including government, creditors, liquidators or administrators, co-shareholders or even the company itself. Please see our shareholder and director advice page for more information on company and shareholder claims. However, experience tells us that the two biggest factors for a director to consider, when assessing such risk and an claims threatened or received, are as follows:
At Francis Wilks and Jones we have considerable experience in advising on and assisting with the above matters and we would be more than happy to discuss any of the above on an initial no obligation basis. Please feel free to contact us if you have any such queries.