{"id":9114,"date":"2021-02-16T10:52:06","date_gmt":"2021-02-16T09:52:06","guid":{"rendered":"https:\/\/www.everestnotariaat.com\/liability-of-managing-directors-in-times-of-crisis\/"},"modified":"2026-03-10T13:50:59","modified_gmt":"2026-03-10T13:50:59","slug":"liability-of-managing-directors-in-times-of-crisis","status":"publish","type":"post","link":"https:\/\/everestnotariaat.com\/en\/liability-of-managing-directors-in-times-of-crisis\/","title":{"rendered":"Liability of managing directors in times of crisis"},"content":{"rendered":"<div class=\"et_d4_element et_pb_section et_pb_section_0  et_pb_css_mix_blend_mode et_section_regular et_block_section\" >\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_d4_element et_pb_row et_pb_row_0  et_pb_css_mix_blend_mode et_block_row\">\n\t\t\t\t<div class=\"et_d4_element et_pb_column_4_4 et_pb_column et_pb_column_0  et_pb_css_mix_blend_mode et-last-child et_block_column\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_pb_module et_d4_element et_pb_text et_pb_text_0  et_pb_text_align_left et_pb_bg_layout_light\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_pb_text_inner\"><p><em>By now it is more than clear that the corona crisis is having a major impact on business. Entrepreneurs see bankruptcy looming closer and are trying with all they have to keep their heads above water. In order to help entrepreneurs, the government is offering a package of financial support measures. For some entrepreneurs this is enough to get them back on their feet for a while, but how long can you carry on doing business without a stable perspective for the future?<\/em><\/p><\/div>\n\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div><div class=\"et_d4_element et_pb_row et_pb_row_1  et_pb_css_mix_blend_mode et_block_row\">\n\t\t\t\t<div class=\"et_d4_element et_pb_column_1_2 et_pb_column et_pb_column_1  et_pb_css_mix_blend_mode et_block_column\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_pb_module et_d4_element et_pb_image et_pb_image_0\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<span class=\"et_pb_image_wrap \"><img decoding=\"async\" src=\"https:\/\/www.everestnotariaat.com\/wp-content\/uploads\/2020\/10\/foto-blog-NOW-1.jpg\" alt=\"\" title=\"foto blog NOW 1\" \/><\/span>\n\t\t\t<\/div><div class=\"et_pb_module et_d4_element et_pb_text et_pb_text_1  et_pb_text_align_left et_pb_bg_layout_light\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_pb_text_inner\"><p><span style=\"color: #ff9900;\"><strong>Liability of managing directors<\/strong><\/span><br \/> A director who continues to operate his company for too long, whereby a bankruptcy is inevitable, runs the risk of being held personally liable for the debts of the company. According to established case law of the Supreme Court, the director is liable if no reasonable thinking director would have acted in the same way under the same circumstances. Where is the boundary of improper management?<\/p>\n<p><span color=\"#ff9900\" style=\"color: #ff9900;\"><b>Court rulings<\/b><\/span><br \/> The Court had already ruled on similar situations at the time of the credit crisis. In one judgment the conclusion was that the management board was not liable, but in another judgment it was concluded that the management board was liable.<\/p>\n<p>&nbsp;<\/p><\/div>\n\t\t\t<\/div>\n\t\t\t<\/div><div class=\"et_d4_element et_pb_column_1_2 et_pb_column et_pb_column_2  et_pb_css_mix_blend_mode et-last-child et_block_column\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_pb_module et_d4_element et_pb_text et_pb_text_2  et_pb_text_align_left et_pb_bg_layout_light\">\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t<div class=\"et_pb_text_inner\"><p>Without going into too much detail on the legal facts, it can be said that the actions of directors do not constitute liability as long as there is still a chance of survival. It is important that the administration is in order and that the choices made by the directors are adequately explained in management reports.<\/p>\n<p>If these reports show that the company constantly searched for opportunities to improve its results and that it did not continue against its better judgement, there is a good chance that there will be no question of directors\u2019 liability.<\/p>\n<p><span style=\"color: #ff9900;\"><strong>Things in order<\/strong><\/span><br \/> Therefore, in times of crisis, make sure that the administration is in order, that the annual accounts have been adopted and filed on time, and prepare management reports setting out the considerations of the board.<\/p>\n<p>Is it clear that the company will not survive the crisis, that creditors can no longer be paid and that the debts will only increase of the company continues? Then consider filing for bankruptcy and avoid directors\u2019 liability. After all, bankruptcy is terrible enough.<\/p><\/div>\n\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Filing for bankruptcy or not? How long can you carry on doing business without a stable perspective for the future?<\/p>\n","protected":false},"author":5,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"slim_seo":{"title":"Managing Directors Liability During Business Crisis","description":"Discover how managing directors can limit personal liability during business crises by maintaining proper administration, documenting decisions, and knowing when to file for bankruptcy."},"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[12],"tags":[],"class_list":["post-9114","post","type-post","status-publish","format-standard","hentry","category-geen-onderdeel-van-een-categorie"],"_links":{"self":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/posts\/9114","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/comments?post=9114"}],"version-history":[{"count":0,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/posts\/9114\/revisions"}],"wp:attachment":[{"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/media?parent=9114"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/categories?post=9114"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/everestnotariaat.com\/en\/wp-json\/wp\/v2\/tags?post=9114"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}