Directors and Officers Liability: Responding to Recent Surge in Claims and Lawsuits

Description

Directors and officers are prime targets as companies come to terms with new exposures arising from regulatory compliance, taxation, sexual harassment, cybersecurity and a variety of other high-risk areas, while investors and regulators are increasingly bringing these issues to the forefront. Plaintiffs are securing third-party support and funding, helping to drive the expansion in D&O litigation.

The pursuit of claims is expected to increase throughout 2018 and beyond due to a steady increase in regulation of corporate boards, directors and officers. Insurance coverage to protect directors, officers and companies must not be ignored and may be more important than in the past.

Critical executive governance issues can range from long-term strategy and planning for cybersecurity oversight and board composition to crisis response related to investor activism, regulatory investigations, and sexual harassment claims. Corporate counsel must stay aware of regulatory changes that increase the risk of D&O liability and prepare with practical methods to avoid or mitigate misconduct liability. Risk management and legal departments must work together to develop risk transfer programs up to the task of maximizing insurance coverage, particularly in bet-the-company-scale litigation.

Listen as our panel discusses the current state of D&O liability claims, the most vulnerable areas of concern for executive governance, and best practices to reduce compliance lapses, penalties and potential litigation.