Jump to ContentJump to Main Navigation
Show Summary Details
More options …

Baltic Journal of Law & Politics

A Journal of Vytautas Magnus University

2 Issues per year


CiteScore 2016: 0.13

SCImago Journal Rank (SJR) 2015: 0.102
Source Normalized Impact per Paper (SNIP) 2015: 0.276

Open Access
Online
ISSN
2029-0454
See all formats and pricing
More options …

The Company Director’s Liability for Untrue Statements

Leonid Tolstov
  • Candidate University of Tartu, Faculty of Law (Estonia) Contact information Address: Roosi 28-2, 51009 Tartu, Estonia
  • Email
  • Other articles by this author:
  • De Gruyter OnlineGoogle Scholar
/ Professor Janno Lahe
  • Associated Professor of Civil Law; Dr. iur. University of Tartu, Faculty of Law (Estonia) Contact information Address: Näituse 20, 50409 Tartu, Estonia
  • Email
  • Other articles by this author:
  • De Gruyter OnlineGoogle Scholar
Published Online: 2014-10-08 | DOI: https://doi.org/10.2478/bjlp-2014-0005

Abstract

In the modern information society the success or failure of a person participating in activities related to legal issues depends increasingly more on the relevance and correctness of available information and this is why higher demands are put on giving out information. In the context of company law it is evident that although the company is always liable for the information issued, in reality it is not the legal person giving out information, but its legal representative (the director) instead. Therefore, it would be reasonable to ask whether the director could simply hide behind the company; or, should the director also be held personally liable for disclosing untrue statements? The aim of this article is, on the basis of English, German, Spanish and Estonian law, to analyze if and in which cases a director can be held personally liable for disclosing false information to a third party in the name of a company and what the optimal standard of a directors’ liability for disclosing false information could be. The liability of the company itself is not the current article’s object of the research.

Keywords: Director’s liability; tort liability; untrue statements; precontractual negotiations; statutory duty

References

  • 1. Águila-Real, Jesús Alfaro. “La Llamada Acción Individual de Responsabilidad contra los Administradores Sociales” [So Called Individual Liability Claim against the Directors of a Company] // http://www.estig.ipbeja.pt/~ac_direito/individual.pdf (accessed May 12, 2013).Google Scholar

  • 2. Bamberger, Heinz Georg, and Roth, Herbert. Beck'scher Online-Kommentar BGB. 27th ed. München: C.H.Beck, 2013. Google Scholar

  • 3. Cabanillas Sánchez, A. “El ámbito de la responsabilidad precontractual o culpa in contrahendo [The Extent of the Precontractual Liability or culpa in contrahendo]. Revista Crítica de Derecho Inmobiliario (1995): 747-788.Google Scholar

  • 4. Ciota, Maria Cristina. Die deliktische Aussenhaftung des Vorstandes einer Aktiengesellschaft [Tortious Liability of the Management Board of a Public Limited Company]. Aachen: Shaker Verlag, 2008.Google Scholar

  • 5. Deakin, Simon, and Basil Markesinis. Tort Law. 6th ed. Oxford: Clarendon Press, 2008.Google Scholar

  • 6. Deakin, Simon, Angus Johnston, and Basil Markesinis. Markesinis and Deakin`s Tort Law. 5th ed. New York: Oxford, 2003.Google Scholar

  • 7. Dugdale, Anthony, et al. Clerk & Lindsell on Torts. 19th ed. London: Sweet & Maxwell, 2006.Google Scholar

  • 8. Eckhoff, Frank. Die Haftung der Geschäftsleiter gegenüber den Gläubigern der Gesellschaft wegen Insolvenzverschleppung [The Liability of the Director to Creditors for Wrongful Trading]. Baden-Baden: Nomos, 2010.Google Scholar

  • 9. Grubb, Andrew, et al. The Law of Tort. Butterworths LexisNexis, 2002.Google Scholar

  • 10. Guerra Martín, Guillermo, et al. La responsabilidad de los administradores de sociedades de capital [The Liability of the Directors of a Company]. Madrid: Wolters Kluwer España, La Ley 2011.Google Scholar

  • 11. Heuston, R. F. V, and R. A. Buckley. Salmond and Heuston on the Law of Torts. 21st ed. London: Sweet&Maxwell, 1996.Google Scholar

  • 12. Hilliard, Lexa. “Liabilities of Directors to Third Parties”: 819-844. In: Simon Mortimore QC, ed. Company directors, duties, liabilities, and remedies. Oxford University Press, 2009.Google Scholar

  • 13. Hodgson, John, and John Lewthwaite. Tort law. 2nd ed. Oxford University Press, 2007.Google Scholar

  • 14. Hoffmann-Becking, Michael, et al. Münchener Handbuch des Gesellschaftsrechts, Aktiengesellschaft [Munich`s Handbook of the Company Law, Public Limited Company]. Vol. 4. 2nd ed. München: C.H. Beck, 1999.Google Scholar

  • 15. Howarth, David, et al. Hepple, Howarth and Matthews`Tort: Cases and Materials. 5th ed. London: Butterworths, 2000.Google Scholar

  • 16. Jones, Michael. Textbook on Torts. 8th ed. Oxford University Press, 2002.Google Scholar

  • 17. Jula, Rocco. Der GmbH-Geschäftsführer [The Director of a GmbH]. 4th ed. Springer, 2012.Google Scholar

  • 18. Kessler, Friedrich, and Edith Fine. “Culpa in Contrahendo, bargaining in Good Faith, and Freedom of Contract: a Comparative Study.” Harvard Law Review (1964): 401-449. Google Scholar

  • 19. Koziol, Helmut. Grundfragen des Schadenersatzrechts [General Questions of the Tort Law]. Jan Sramek Verlag, 2010.Google Scholar

  • 20. Lahe, Janno. “Lepingueelsete kohustuste ning eellepingu rikkumisest tulenev tsiviilõiguslik vastutus” [Liability for Breach of Pre-contractual Relations]. Juridica (10/2004): 681-687.Google Scholar

  • 21. Loose, Peter, Michael Griffiths, and David Impey. The Company Director: Powers, Duties and Liabilities. 11th ed. Jordans, 2011.Google Scholar

  • 22. Lunney, Mark, and Ken Oliphant. Tort Law. 2nd ed. Oxford University Press, 2003.Google Scholar

  • 23. Lüsing, Jan. Die Pflichten aus culpa in contrahendo und positiver Vertragsverletzung [The Obligations from culpa in contrahendo and Positive Violation of Contractual Duty]. Baden-Baden: Nomos, 2010.Google Scholar

  • 24. Lutter, Marcus, et al. GmbH-Gesetz, Kommentar. 18th ed. Köln: Verlag Otto Schmidt, 2012.Google Scholar

  • 25. Martínez, Gema Tomás. “Naturaleza de la Responsabilidad Precontractual (Culpa in Contrahendo) en la Armonización Jurídica Europea” [The Nature of Precontractual Liability (culpa in contrahendo) in the European Legal Harmonization]. Revista de derecho (Coquimbo) (1/2010): 187 - 210 // http://www.scielo.cl/scielo.php?pid=S0718-97532010000100009&script=sci_arttext (accessed May 18, 2013).Google Scholar

  • 26. Michalski, Lutz, et al. Kommentar zum Gesetz betreffend die Gesellschaften mit beschränkter Haftung (GmbH-Gesetz) [Commentary of the GmbH Act]. Vol. 2. München: C. H. Beck, 2002.Google Scholar

  • 27. Möritz, Daniel. Haftung des Managements und Drittschutz [The Liability of the Management and the Protection of third Persons]. Baden-Baden: Nomos, 2011.Google Scholar

  • 28. Rebmann, Kurt, Franz Jürgen Säcker, and Roland Rixecker. Münchener Kommentar zum Bürgerlichen Gesetzbuch, Schuldrecht, Besonderer Teil III [Commetary of the Civil Code, Civil Law, Special Part III]. Vol. 5. 4th ed. München: C. H. Beck, 2004.Google Scholar

  • 29. Rogers, W. V. H. Winfield & Jolowicz on Tort. 17th ed. London: Sweet&Maxwell, 2006.Google Scholar

  • 30. Säcker, Franz Jürgen, and Roland Rixecker. Münchener Kommentar zum Bürgerlichen Gesetzbuch. 5th ed. München: C.H. Beck, 2009.Google Scholar

  • 31. Säcker, Franz Jürgen, Roland Rixecker. Münchener Kommentar zum Bürgerlichen Gesetzbuch. 6th ed. München: C.H. Beck, 2012.Google Scholar

  • 32. Steffek, Felix. Gläubigerschutz in der Kapitalgesellschaft [Creditors Protection in a Company]. Tübingen: Mohr Siebeck, 2011. Google Scholar

  • 33. Tampuu, Tambet. Lepinguvälised võlasuhted [Non-contractual Relations]. 3rd ed. Juura, 2012.Google Scholar

  • 34. Uhlenbruck, Wilhelm, and Heribert Hirte. Insolvenzordnung, Kommentar [Commantary of the Insolvency Act]. 13th ed. München: Verlag Franz Vahlen, 2010.Google Scholar

  • 35. Varul, Paul, et al. Võlaõigusseadus I, Kommenteeritud väljaanne [Law of Obligations Act I, Commented Edition]. Tallinn: Juura, 2006.Google Scholar

  • 36. Volens, Urmas. Usaldusvastutus kui iseseisev vastutussüsteem ja selle avaldusmisvormid, dissertatsioon [Reliance Liability as an Independent Liability Regime and its Types of Expression, Dissertation]. Tartu Ülikooli kirjastus, 2011.Google Scholar

  • 37. Wild, Eva-Maria. Prospekthaftung einer Aktiengesellschaft unter deutschem und europäischem Kapitalschutz [Prospectus Liability of a Public Limited Company according to the German and European Capital Protection Rules]. Köln: Carl Heymanns Verlag, 2007.Google Scholar

  • 38. Yzquierdo Tolsada, Mariano. Sistema de Responsabilidad Civil, Contractual y Extracontractual [The System of Civil Liability, Contractual and Tortuous]. Madrid: Dykinson, 2001. Google Scholar

About the article

Received: 2014-02-10

Accepted: 2014-05-15

Published Online: 2014-10-08

Published in Print: 2014-06-01


Citation Information: Baltic Journal of Law & Politics, ISSN (Online) 2029-0454, DOI: https://doi.org/10.2478/bjlp-2014-0005.

Export Citation

© by Leonid Tolstov. This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License. BY-NC-ND 3.0

Comments (0)

Please log in or register to comment.
Log in