Responsibilities and risks of executive directors of the company

Legal analysis: The risk of the executive director is that the executive director's duties are equivalent to the board of directors of other companies, and he needs to formulate and implement all major plans and plans of the company and decide on the establishment and management of the organization, which is of great responsibility; In addition, the executive director can also serve as the legal representative of the company. If he wants to engage in civil activities on behalf of the company and causes losses to the company, he shall be liable for compensation.

Legal basis: People's Republic of China (PRC) Company Law.

Article 13 The legal representative of a company shall be the chairman, executive director or manager in accordance with the articles of association, and shall be registered according to law. Where the legal representative of the company changes, it shall go through the registration of change.

Article 50 A limited liability company with a small number of shareholders or a small scale may have an executive director instead of a board of directors. The executive director may concurrently serve as the company manager.

The functions and powers of the executive director shall be stipulated in the articles of association.

Article 149 Directors, supervisors and senior managers who violate laws, administrative regulations or the articles of association when performing their duties in the company and cause losses to the company shall be liable for compensation.