Corporate and M&A

Courts Clarify Important Limitations on Canadian Corporations' Capacity to Protect Directors Who Are Sued

Contact: Blaney McMurtry (Ontario, Canada)

People who agree to become directors on the boards of Canadian corporations take on significant risks – for instance, the risk of being sued. These liability risks can have a “chilling effect” on a person’s willingness to become a corporate director and, by virtue of his or her knowledge and experience, can affect the potential success of a corporation.

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