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Q：
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What are the consequences of company directors, supervisors and senior management officer causing losses to the company?
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A：
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If a company's directors, supervisors, or senior management officer violate laws, administrative regulations, or the company's articles of association while performing their duties and cause losses to the company, they shall be liable for compensation.
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Q：
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What are the consequences of company directors and senior management officer harming the interests of shareholders?
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A：
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If a company's directors or senior management officer violate laws, administrative regulations, or the company's articles of association and harm the interests of shareholders, shareholders may file a lawsuit with the people's court.
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Q：
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What are the consequences for company directors and senior management officer who cause harm to others?
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A：
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If a company's directors or senior management officer perform their duties and cause harm to others, the company shall bear the liability for compensation; Directors and senior management officer who have intentional or gross negligence shall also be liable for compensation.
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Q：
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What are the consequences of a company's controlling shareholder directing directors and senior management officer to harm the interests of the company?
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A：
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If the controlling shareholder or actual controller of a company instructs a director or senior management officer to engage in behaviour that harms the interests of the company or shareholders, they shall bear joint and several liability with the director or senior management personnel.
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Q：
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Can the company purchase liability insurance for directors who are liable for compensation due to the performance of company duties?
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A：
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The company can purchase liability insurance for the compensation liability borne by directors during their tenure in the company due to the performance of their duties. After the company has purchased or renewed liability insurance for its directors, the board of directors shall report to the shareholders' meeting the insured amount, coverage, and premium rate of the liability insurance.
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FAQ
