Manager’s and Advisor’s Liability
As more and more regulatory requirements for companies are adopted, business managers bear an increased liability risk. If a company incurs losses, the question arises as to whether these resulted from personal misconduct. Increasingly, redress is demanded even of external advisors such as auditors or lawyers.
We have a great deal of experience handling such liability cases, both on the corporate side and the side of business managers. We understand the “Business Judgement Rule” and relevant economic considerations and know that not every negative development results from a management error. We often find a solution with the involved D&O insurers.
In the past, we have handled major legal disputes in this respect that have attracted attention throughout Germany.
A selection of past cases
- Represented the chairman of a company’s supervisory board from the European gambling industry in an action against the former executive board for possible misconduct concerning the acquisition of international gambling licenses.
- Advised the supervisory board of a company in the defence industry concerning compliance infringements by former chairpersons and employees.
- Comprehensively advised the supervisory board of a plant construction company in the aftermath of internal investigations and the assertion of damage claims and claims against D&O and fidelity insurers.
- Advised a major real estate group concerning potential claims against their tax consultants for breach of duty.
- Represented the supervisory board of a German bank in ad hoc arbitration against former management board members for misconduct in complex financial transactions, simultaneously conducting settlement negotiations with a consortium of D&O insurers. *
- Represented a lawyer charged with aiding and abetting the embezzlement actions of his client.
- Represented a law firm confronted with an alleged liability for tortious acts of a person working as a lawyer despite not having a license.