Corporate Manslaughter

The Corporate Manslaughter & Homicide Act 2007 came into force on 6 April 2008.  This Act was introduced to make it easier to prosecute business organisations for manslaughter.  Previously to this legalisation organisations could only be found guilty of corporate manslaughter if, under common law, the “controlling mind” could be identified.  This meant the offence had to be attributable to a senior individual in the company.  Under “common law” a senior individual could be prosecuted (and still can be) for the offence of gross negligence manslaughter.

The first case was in February 2011 when Cotswold Geotechnical was found guilty of the corporate manslaughter of Alexander Wright in September 2008.  Mr Wright died following the collapse of a 3.8 metre deep, unsupported, trial pit.  He died of traumatic asphyxia as the weight of soil crushed his body.  He was 27 years old. Cotswold Geotechnical was fined £385,000.

In May 2012, following Northern Ireland’s first corporate manslaughter conviction, JMW Farms Ltd was fined £187,500.  Robert Wilson was struck by a metal bin falling from a forklift truck In November 2010.  Mr Wilson suffered fatal head injuries.

The second prosecution in England is due to be heard this month.  Lion Steel Equipment Ltd has been charged following the death of Steven Berry in May 2008.  Mr Berry fell through a fragile, plastic roof at the company headquarters and died as a result of the injuries from the fall.  Three of the company directors have also been charged with gross negligence manslaughter.

The sentence for corporate manslaughter is an unlimited fine. Some companies are unlikely to be able to easily find the money and continue trading.

The associated costs of the trial can be thousands of pounds.   As company directors and officers are directly involved in these cases, Directors &Officers Insurance will, at least, cover the associated legal costs.  If you would like to know more, please give me a call on 01244 329149.