directors’ liability under thr doctrine of piercing the corporate veil : the directors' liability for corporate debt

Piercing the Corporate Veil: An Empirical Study

Corporate Criminal Liability

The Common Law: Vicarious Liability and the Development of Primary Liability UNLESS THE TERMS OF THE STATUTE INVOLVED SPECIFICALLY PROVIDE TO the contrary, the criminal responsibility of a company or corporation, as distinct from its officers or employees, falls to be determined by common law principles. Under original common law, a company could not be convicted for any criminal offence. The c...

The Capricious Cushion: The Implications of the Directors and Insurance Liability Crisis on Canadian Corporate Governance

One of the clearest legacies of the growing concern expressed over the international competitiveness of Canadian and American businesses has been the urgency it has lent to a very old debate respecting the efficacy of the apparatus used to govern the business and affairs of large, public corporations. For instance, Michael Porter, one of the most articulate if not the most prolific of the new c...

Directors’ and officers’ liability insurance and the cost of debt

Using hand-collected data on directors’ and officers’ liability insurance (D&O insurance), we analyze the effect of D&O insurance on the cost of debt. We find that higher levels of D&O insurance coverage are associated with higher at-issue bond yields (to maturity) and higher loan spreads. This evidence suggests that debtholders view D&O insurance coverage as increasing credit risk (potentially...

Corporate risk management: evidence from product liability

In this paper we examine the factors that determine how firms manage large, firmspecific risks, in this case, product liability. The risk of being sued for defective products or damage from defective products poses a small probability of a great loss to the firm. Product liability exposure arises from the firm’s choice of products and markets; choices that are fundamental to the firm’s business...

Directors’ and Officers’ Liability Insurance, Corporate Risk and Risk Taking: New Panel Data Evidence on the Role of Directors’ and Officers’ Liability

In this paper, we develop and estimate models of the determinants of firms’ demand for directors’ and officers’ liability insurance. We add to and validate the existing empirical literature by testing hypotheses regarding the relationship between D&O insurance purchase and firm size, governance characteristics and business risk. Our data set allows us to test both purchase decisions and limits ...