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11 Mar 2022

Robert McCorquodale & Stuart Neely, Journal of Corporate Law Studies

Directors duties and human rights impacts: a comparative approach

7 Feb 2022

This article provides a comparative perspective on the issue of directors’ liability for actions by a company which causes or contributes to human rights impacts. International, European and national regulatory developments in business and human rights are influencing company law. This article will consider directors’ duties in relation to the meaning of ‘the best interests of a company’ and how the expectations on directors from various stakeholders are changing due to legislation, court decisions and practice. Based on this, there is an analysis of the link between directors’ duties and human rights due diligence, and about access to remedy for the victims of actions arising from the acts or omissions of directors, including any decisions made by directors without proper regard for the human rights of those affected by the company’s activities. It considers what might be the personal liabilities of directors in this area and possible ways forward, including in relation to probable EU regulation on this area.