Skip to main content

Directors' and Officers' Fiduciary Duties When Corporation Insolvent

When a company becomes insolvent, there are changes in the duties owed by the company’s officers and directors. Specifically, insolvency can trigger a fiduciary duty from the company to its creditors. This is called the Trust Fund Doctrine, and corporate officers and directors should be aware of its implications.

Additional resources provided by the author

Brown & Charbonneau, LLP publications should not be construed as legal advice on any specific facts or circumstances. The contents are intended for general information purposes only and may not be quoted or referred to in any other publication or proceeding without the prior written consent of the Firm, to be given or withheld at our discretion. To request reprint permission for any of our publications, please contact us. The mailing of this publication is not intended to create, and receipt of it does not constitute, an attorney-client relationship. The views set forth herein are the personal views of the authors and do not necessarily reflect those of the Firm.

Rate this guide


Recommended articles about Business

Can’t find what you’re looking for?


Post a free question on our public forum.

Ask a Question

- or -

Search for lawyers by reviews and ratings.

Find a Lawyer