Joint and several liability exposes company officers to penal proceedings unless due diligence or lack of knowledge is proven. Contravention by companies imposes joint and several liability on the company and every person in charge of conducting the company's business for breaches of the Act, its rules, directions or orders, subject to a defence proving lack of knowledge or exercise of due diligence; the company is also liable where the contravention occurred with the consent or connivance of, or is attributable to neglect by, any director, manager, secretary or other officer, and 'company' includes firms while 'director' in a firm means a partner.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Joint and several liability exposes company officers to penal proceedings unless due diligence or lack of knowledge is proven.
Contravention by companies imposes joint and several liability on the company and every person in charge of conducting the company's business for breaches of the Act, its rules, directions or orders, subject to a defence proving lack of knowledge or exercise of due diligence; the company is also liable where the contravention occurred with the consent or connivance of, or is attributable to neglect by, any director, manager, secretary or other officer, and 'company' includes firms while 'director' in a firm means a partner.
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