On Board: Liability And Indemnity

Now more than ever, company directors must understand and appreciate not only the duties and obligations that accompany their role but also the exoneration and indemnity mechanisms available to them and the limits to such provisions.

That is because international standards of corporate integrity and transparency are growing features of cross jurisdictional financial initiatives. The result is an increased level of legal and regulatory compliance and accountability for companies, which must adapt their practices in response to the added responsibility.

In connection with the global effort to support effective levels of managerial transparency, the Bermuda Proceeds of Crime Amendment Act 2016 was amended recently resulting in the insertion of a provision for a register of directors in the Companies Act 1981 (Companies Act). The amendment requires that a Bermuda registered company file with the Registrar of Companies (Registrar) a list of its directors to be