Directors’ Fiduciary Duties in Banking and Insurance Industries: Focusing upon Depositors and Insured

• Main Authors: Yi-ChingChung, 鍾宜靜
• Other Authors: Chun-Jen Chen
• Format: Others
• Language: zh-TW
• Published: 2019
• Online Access: http://ndltd.ncl.edu.tw/handle/6wk36t

碩士 === 國立成功大學 === 法律學系 === 107 === Given the special “other people’s money” character of bank and insurance industries’ assets, mostly come from depositors and insured, when company pursuing the purpose of company’s biggest interests should also considering the protection of depositors and insured interests. Relative to traditional discussions about agency costs under the company law, we should pay more attention to the problem about agency cost of debt. The supervision of financial institutions not only depends on financial safety net setting but also internal monitoring mechanisms, specific functioning of directors’ fiduciary duties and responsibilities. Although we have central deposit insurance corporation and Taiwan insurance guaranty fund, directors still bear the burden of risks. Under the common law, directors’ fiduciary duties in bank and insurance industries including diversification in investment, continuing duty to supervise company’s affairs and preventing from conflict of intersts. However, numerous financial scandals are caused by directors’ negligence in supervision or violation of their duties of loyalty. And how depositors and insured seeking the protection of their rights is an important thing. Though this thesis, we would like to try to propose some possible amendments including reference to cases under common law that consider the protection of creditors’ rights in director’s fiduciary duties in some conditions. In other words, directors should also consider depositors and insured’s interests under their fiduciary duties given to special reliance between both sides. Nowadays, Company Law in Taiwan focus directors’ duties and liabilities on the relationship with company, yet neglect relationship with the shareholders or creditors. Thus, in terms of the litigation, it is necessary to regulate rights and duties between directors and shareholders by statute in the future. It may not only be helpful to construct a sound system of director’s fiduciary duty but also be good for advance of protection the right of shareholders, depositors and the insured.