When Corporate Officers Are Personally LiableApril 1, 2012 – Article
Being an officer of a corporation can be the heady experience of a lifetime. On the upside is the opportunity to be a strategic thinker, a lauded visionary, the captain of a profitable venture and the recipient of compensation beyond one’s dreams. But there is a downside, and it can be equally dramatic. On a seemingly weekly basis, we see corporate officers handcuffed and policeescorted away, in full glare of the press. They are being charged with corruption and are the subjects of governmental investigations, shareholder lawsuits and the public’s unquenchable thirst for payback. And they are receiving harsh sentences and lengthy jail terms. The fears of corporate officers over personal liability for their actions are wellfounded.