A director or officer being sued or investigated for allegations of mismanagement is facing one of his or her worse nightmares.
His reputation is at stake (often fueled by a stream of adverse news articles in the local press) and, because a director’s or officer’s liability even for ‘corporate decisions’ is a personal liability, such a claim can be a financial nightmare as well.
The situation is made all the worse when the director receives notification that the D&O insurer may be denying coverage. This article lays out the top 10 steps for a director to take to put him back in control.
