Directors' liability
Directors are liable to the company, shareholders and third parties for damage caused by acts or omissions contrary to law, the articles or breach of the duties inherent in their position (loyalty and diligence). The derivative action is brought by the General Meeting or, subsidiarily, by shareholders holding 5% of capital. The individual action allows direct recovery of damage caused to a third party.
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Other Commercial law terms
Universal judicial proceeding to resolve a debtor's insolvency, balancing the interests of all creditors. May end in a payment agreement or asset liquidation.
Commercial corporate form where capital is divided into shares and partners' liability is limited to contributed capital. Most common form in Spain for SMEs.
Commercial corporate form with capital divided into freely transferable shares. Minimum capital: EUR 60,000, at least 25% paid up. Mandatory for listed companies, banks and insurers.
Distinctive sign identifying products or services in the market. Registered with OEPM (Spain) or EUIPO (EU). Protection for 10 renewable years. Grants exclusive use rights and infringement prosecution.
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