Directors’ duties and liabilities in financial distress during Covid-19

The Covid-19 pandemic and the economic crisis it has caused will have a large financial impact on many companies. Boards are struggling to ensure survival in the short term and to preserve cash, whilst planning for the long term in a world full of uncertainties. 

Many directors are uncertain about their responsibilities and liability risks in these circumstances. In particular in situations were they are directors of subsidiaries in other jurisdictions or are qualified by (local) law as shadow directors of a subsidiary.

We have put together an overview of the main issues facing directors in financially uncertain times in a number of major jurisdictions across the globe. You will find in this publication a brief general description of directors’ duties and key areas of potential directors’ liability in each country, as well as some answers to the key questions they might face.

Click here to read our Netherlands report (direct link to PDF). The full publication on all major jurisdictions can be accessed here.