{"id":17353,"date":"2024-12-27T06:00:43","date_gmt":"2024-12-27T06:00:43","guid":{"rendered":"https:\/\/letslaw.es\/?p=17353"},"modified":"2024-12-10T15:14:14","modified_gmt":"2024-12-10T15:14:14","slug":"liability-corporate-director","status":"publish","type":"post","link":"https:\/\/letslaw.es\/en\/liability-corporate-director\/","title":{"rendered":"The liability of the corporate director"},"content":{"rendered":"

As we have mentioned on several occasions in this blog, shareholders, who are mostly capitalists, i.e., those who have contributed capital to the company, are generally only liable up to the amount of their contribution.<\/span><\/p>\n

But what about the director? They are the ones who, in fact, manage the company daily, making many of the business decisions.<\/span><\/p>\n

As a general rule, directors should not be overly concerned as long as they act with reasonable diligence. <\/span>Additional liability arises only when their conduct deviates from the reasonable standards expected of someone in their position<\/b>.<\/span><\/p>\n

Below, we will analyze the potential liabilities of an average director in a limited liability company, leaving aside administrative matters, which could be a topic for another post.<\/span><\/p>\n

From the Perspective of Corporate Law<\/span><\/h2>\n

A. Corporate Action for Liability Against Directors<\/b><\/p>\n

This action can be brought by the company, represented by its shareholders, when it is believed that the director has acted against the interests of the company.<\/span><\/p>\n

The purpose of this action is to compensate the company for any damages caused and, potentially, to remove the director from their position.<\/span><\/p>\n

Requirements for filing:<\/b><\/p>\n