How to respond to a Chain of Responsibility breach or compliance problem

What should you do if a Chain of Responsibility (CoR) breach or other incident of non-compliance occurs? How you respond is just as important as the steps you have taken to avoid any non-compliance in the first place.

CoR breach prevention

There are several ways you can avoid committing or being involved in a CoR breach, including:

• taking director and executive officer due diligence and compliance measures
• taking all reasonable steps to avoid breachesconducting a risk assessment and developing a response/mitigation plan
• developing a CoR compliance policy
• implementing customer and business partner CoR compliance assurance conditions in contracts implementing effective management and board reporting.