[Winter 2015] New director residency requirements have been introduced for all New Zealand companies. These changes came into effect on 1 May 2015, with all existing companies having an additional 180 days to comply with the new requirements (so by 28 October 2015). Specifically, the New Zealand Companies Act 1993 requires companies incorporated in New… Read More.

[Autumn 2014] Nearly a year to the day after the Court of Appeal, in Steigrad v BFSL 2007 Ltd [2013] NZCA 253, gave insured directors a Christmas present, the Supreme Court has played Scrooge for directors and Santa for liquidators and receivers of, and investors in, failed finance companies to recover losses by pursuing directors… Read More.

[Autumn 2013] Independent directors bring discipline, objectivity, new perspectives and fresh thinking to the board of a family-owned company. This can help preserve family relationships and sustain and grow the business. Separation of family and business The distinction between family matters and business matters is often unclear in family owned companies. This confusion is detrimental… Read More.

[Spring 2013] A recent eConnect article focused on the cases of Selkirk v McIntyre and Church Property Trustees v Attorney-General and The Great Christchurch Buildings Trust. We will not traverse those cases again suffice to say that, in each of those cases, the independent trustee was exposed to significant personal liability. In the Selkirk case,… Read More.

[Winter 2012] Good governance must include legal compliance, business competence and ethical standards. The prosecution of directors for their part in finance company collapses has highlighted these essentials. The key question with all board decision-making is not what can be done? but what should be done? Corporate governance involves a set of relationships between a… Read More.

[Spring 2011] Steigrad v BFSL 2007 Ltd Most Directors and Officers (D&O) liability insurance policies cover liability to pay compensation and damages and also defence costs. Surprisingly, the High Court has held that such policies may not, in fact, cover defence costs where a statutory charge for more than the sum insured is asserted under… Read More.

[Spring 2011] Often we meet people who've taken the leap and are operating their businesses through a company; but who (apart from listening to the initial advice on why a company structure was best) have little understanding about ongoing governance. What is 'governance'? I hear you ask. Simply, it's how you operate and manage your… Read More.

[Spring 2010] Background Under section 174 of the Companies Act 1993, a former shareholder, who believes he or she has been unfairly discriminated against or unfairly prejudiced by the manner in which the affairs of his or her company have been conducted, may seek assistance from the court. A court has wide powers if a… Read More.