Legislator Case Law & Legislation
KKO 1306/2001 AI generated

Supreme Court dismissed claim against bank directors for loan loss damages due to lack of fault.

Case Number KKO 1306/2001
Court / Authority
Jurisdiction Finland (FI)
Decision Date
Outcome Dismissed

Legislator summary

AI generated

The Supreme Court dismissed the plaintiff's claim seeking damages from the board members and CEO of a savings bank for losses incurred from a loan. The plaintiff argued that the directors failed in their duty of care, while the bank contended that the loan was approved based on accurate information and no negligence occurred. The court ruled that the directors were not liable because there was no evidence of fault or breach of statutory duty in the decision-making process.

Legislator headnote

AI generated

S. 10 of the Act on the Liability of Directors; Directors of a savings bank are not liable for loan losses unless they acted with fault or breached their statutory duties of care.

Keywords

AI generated
savings bank liability directors duty of care loan loss damages corporate governance fault requirement

Cited Legislation

AI generated
S. 10 of the Act on the Liability of Directors
AI generated

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Full text

Kysymys säästöpankin hallituksen jäsenten, valtuutettujen ja toimitusjohtajan korvausvastuusta pankille luotonannosta aiheutuneista vahingoista sekä korvauksen sovittelusta.