Director's Duties and Banking Crisis

[ginkly]

In doing my law essay on listed companies director's duties I have to link the banking crisis as a consequence to the fact of directors' doing what they shouldn't be doing. I'm not a legal expert and I'd like to have some help to start writing about this.
Many thanks before hand.

[Mr. Knowitall]

Laws vary by state and country. Also, few here are eager to do students' homework.

[ginkly]

Laws vary by state and country. Also, few here are eager to do students' homework.

That's lovely, many thanks. I wish I could have been born already cultivated but unfortunately I'm still obliged to ask other people to solve my doubts.

[LawResearcherMissy]

Presumably, your law school has a law library. Avail yourself of it.

[KeyWestDan]

I don't even want to know why you picked an eassy topic you know nothing about. Or one so vey boring.

Well, don't worry, we have way too many lawyers as it is, and law schools pumping them out at a massive rate when there still are no jobs for them. The market will sort the wheat from the chaft.

No school would have an eassy assignment like that except a law school. You mean to tell me that you don't know how to research topics of law or published cases?

But have you EVER heard of board members being prosecuted? First, look to see how criminal law is enforced against bank directors. Would bet that it isn't at all except in the case of very small banks, if at all. Most boards are really in the dark anyway about what the officers and employees are really doing. As for a civil action, that is rare, and then any banking company is going to have D&D insurance and the insurance company will provide a defense and pay any judgment. In addition, to sue individual members of the board you'd have to pierce the corporate veil which is going to be nearly impossible with a bank. You would have to prove something even worse than a RICCO violation.

If you are talking about the new batch of class actions against banks improperly forcloseing on home owners, that will never affect the boards of directors, other than perhaps stock price. Those cases are mainly against the shyster middlemen. Any resolution of those cases is going to be years away.

What a stupid topic.