In regards to the management of business at a global level there are many laws, regulations, public and private institutions, as well as universities that promote the culture of best practices of corporate governance, however, there continue to be cases of insolvency of companies due to their mismanagement in the absence of proper rules of corporate governance.
When an insolvency proceeding is filed, harm may be caused to the company due to inadequate management by their executives.
In view of this situation, in 2014, the Mexican legislator introduced some reforms and additions to the Bankruptcy Law that regulate the liability of executives in cases of companies undergoing an insolvency proceeding.
