What did the court say?
The court granted the compensation order.
In deciding whether to grant the order, the court had to wrestle with the question of calculation.
The only other application for a compensation order to date (Re Noble Vintners Ltd [2019] EWHC 2806 (Ch)) concerned a breach of directors duty.
For most kinds of breach of directors duty, such as a failure to promote the companys success, a failure to exercise independent judgment or profiting from a conflict of interest, compensation is traditionally calculated on an equitable basis.
However, where (as in this case) an individuals conduct amounts to negligence or a breach of a directors duty to exercise reasonable care, skill and diligence, compensation is traditionally calc…
Read the full article at: https://www.macfarlanes.com/what-we-think/in-depth/2023/court-imposes-compensation-order-on-disqualified-director/