June 2008

If you are a Director of a company and facing the possibility of insolvency, then steps need to be taken to ensure that your duties are undertaken correctly. Kam Majevadia from Sydney Mitchell, looks into the responsibilities Directors' have when faced with insolvency within their business.

As a Director you may think you have the protection or "shield" of the Limited Liability status, however this is not the case. As a Director of a company you have many duties, which if breached could lead to personal liability both in civil and criminal proceedings.