No one is above the law, and no one is immune from mistakes. Neither you nor others. Neither the employees and managers of companies nor the company directors. The question is: what happens when someone holding the position of a director in a company violates a legal provision related to company-law or any other relevant law? Or, what should a director do when he/she is confused about whether or not he/she has violated any company-law?
When you, as the director of a company, breach or violate any legal provision of company-law in Bangladesh (or anywhere else in the world), you must immediately consult an ‘external’ Law-Professional who have appropriate expertise in the area, instead of consulting your company’s ‘internal’ legal officers/executives or legal counsels.
You may be already wondering:
What happens if I consult my company’s ‘internal’ legal officers/executives or legal counsels, instead of an ‘external’ Law-Professional.
Well, here’s the answer. The ‘internal’ law officers/executives/counsels, who happen to be the full-time employee of your company, may not have the appropriate expertise to provide ‘legal opinion’ on your violation of the company-law; because these employees in the company’s law-department (or legal & compliance department) are not involved in the mainstream law-practice and, hence, they lack the indepth knowledge about the entirety of company-law. Even if some of these employees know the entirety of company-law, they lack the understanding about impacts, implications and proper implementation of the relevant provisions of the company-law in the practical legal world.
Hence, the right approach for you would be to reach out to an ‘external’ Law-Professional who is not a direct employee of your company’s law-department (or legal & compliance department).
Therefore, whenever such problems or confusions arise, it would be wise for you (as a company’s Director) to approach an ‘external’ Law-Professional who have appropriate expertise in the area of company-law and who regularly deals with various types of legal opinions.
You may consult with such ‘external’ Law-Professionals on:
- whether any of your conduct has already violated any provisions of company-law or other relevant law; or
- whether any decision you are willing to take in near-future could violate any provisions of company-law or other relevant law.
Bahauddin Foizee regularly writes posts related to legal affairs with the intention to help individuals and businesses better understand what should they do to carry-out an action legally without violating law and legal provisions.