Duties of a member of governing body of a limited company in financial difficulties

Duties of a member of governing body of a limited company in financial difficulties Abstract This thesis discusses duties of a member of governing body of a limited company in financial difficulties, specifically chosen institutes not only from corporate law but from insolvency law as well. The main goal of this thesis is to define period of financial difficulties and to create a basic overview of legal duties that are connected to this period. When analysing individual duties, where I take into consideration conclusions from specialised literature and from decisions of the courts, I focus on problematic parts of the enacted law. The thesis proposes de lege ferenda propositions and also reflects on the amendment to the Business Corporations Act. The thesis is divided into four chapters. The first chapter deals with the due managerial care and diligence. It is the key duty, which is imposed on the members of governing body of a limited company. In the second chapter I discuss the state of financial trouble of the company. The Czech lawmaker tries to reflect on this economical state by the institutes of insolvency and impending insolvency, which I focus on within this part. These institutes are linked to a number of legal duties. Chapters three and four constitute the core of the thesis. Chapter three..