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Directors’ Duties in Insolvency Litigation

Master the critical legal strategies to mitigate personal liability, protect the board, and navigate high-stakes claims during corporate financial distress.

Created byPaul Dalkie
BeginnerUpdated Oct 28, 2026
Directors’ Duties in Insolvency Litigation

What You'll Learn

  • check_circleExplain how directors' duties apply in insolvency and financial distress situations
  • check_circleIdentify indicators of financial distress that may increase directors' legal risk
  • check_circleAssess how courts evaluate directors' conduct and decision-making during insolvency
  • check_circleRecognise how timing influences liability in insolvency-related claims
  • check_circleApply practical insights when advising on or litigating directors' duty disputes

About This Course

When a company begins to experience financial difficulty, directors must continue making critical decisions while balancing commercial pressures with their legal responsibilities. In practice, disputes often arise after insolvency when courts are required to determine whether directors acted appropriately during the period leading up to the company's failure.

This course examines how courts in New Zealand and Australia assess directors' duties in insolvency litigation. Drawing on extensive experience in commercial and insolvency law, the session explores how director conduct is evaluated, how timing influences liability, and how decision-making is scrutinized in financially distressed companies. Participants will gain practical insight into the legal principles governing directors' duties and the factors that shape insolvency-related claims and litigation outcomes.

Key Topics Discussed:

  • Directors' duties under New Zealand and Australian company law
  • Financial distress and changing legal obligations
  • Recognising indicators of insolvency
  • Judicial assessment of directors' conduct
  • Timing and liability in insolvency litigation
  • Insolvent trading and reckless trading principles
  • Liquidator and creditor claims against directors
  • Evidentiary issues in breach of duty claims
  • Common director defences
  • Commercial context and judicial decision-making

Your Instructor

Paul Dalkie

Barrister | Adjunct Professor | International Arbitration and Commercial Law Specialist

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Paul Dalkie is a barrister admitted in Australia (Queensland and Victoria) and New Zealand, with over 30 years' experience at the Bar, following eight years as a solicitor with Ashurst and Norton Rose Fulbright. He practises across commercial law, with particular expertise in international arbitration, corporate and insolvency law, contract law, banking and finance, white collar crime, competition law, tax, equity and trusts, construction, appeals, and alternative dispute resolution. Paul is an Adjunct Professor at Beijing Jiaotong University Law School, where he lectures in international arbitration, corporations law, and legal reasoning. He is a regular presenter for Legalwise Seminars, a panelist for the New Zealand Law Society Litigation Skills Course, and has published on directors' duties, restitution, and fair trial principles in leading New Zealand legal journals.

Credit Information

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Frequently Asked Questions

We are a registered provider with 300+ associations and regulatory bodies worldwide. We operate across 27 global markets including Canada, the US, Australia, and the UK. Every course page clearly displays its specific accreditations. Upon completion, you receive a professional certificate that can be validated online. Our certificates include all necessary accreditation details, credit hours, and completion dates, and are formatted specifically to meet the submission requirements of most global regulatory bodies.

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