Conferences & Symposia
Twilight in the Zone of Insolvency:
FIDUCIARY DUTY AND CREDITORS OF TROUBLED COMPANIES
Friday, November 4, 2005
On November 4, the University of Maryland School of Law, in cooperation with the Journal of Business & Technology Law, will host its fourth annual business law conference at the Nathan Patz Law Center in Baltimore. The focus of the 2005 conference is the trend among numerous courts toward the imposition of a common law duty running from a corporation’s board of directors to the corporation’s creditors. This trend appears to be quite at odds with the traditional idea that the board of directors owes a fiduciary duty exclusively to the stockholders. Nevertheless, there seems to be little resistance in the courts to recognition of the new duty.
Among the questions that the conference will address are:
when is the duty triggered?
- how does it square with other creditor protections?
- what does the duty entail?
- how does it differ from existing rules?
- who has standing to bring the action?
- how does the duty work in the face of the shareholder primacy norm?
- how does it relate to other constituency statutes?
- how do these emerging standards apply to corporate officers and professionals?
- how is the duty enforced?
- does it apply outside of a bankruptcy proceeding?
- how does this work in relation to the developing doctrine of “deepening insolvency”?
- is there a comparable duty in the UK or EU?
- what is the source of the new duty?
- do we really need a new doctrine here?
The conference will assemble the leading authorities in this important debate, including legal scholars, practicing lawyers, and members of the judiciary. Conference proceedings and papers will be published in the Journal of Business & Technology Law.