company operating without Public Liability insurance

This is purely a hypothetical question.

Would a limited company that has no Public Liability insurance be considered to be trading recklessly if there was an incident and a claimant could get nothing due to the company having no assets? I am talking about a charity here.

Could the High Court remove the limited liability and allow the claimant to pursue the directors and shareholders?

Depends on the circumstances, there are no sure fast rules.

Thanks for your response. So no insurance is not wreck less trading?

AFAIK. 'Registered' charities can't be limited liability companies

You know what i mean, charities do have limited liability.

Also they may be a "voluntray group" using a limited company as a front.

Towger said:

AFAIK. 'Registered' charities can't be limited liability companies

Click to expand...

That seems to be correct reading from the Revenue's Charities FAQ leaflet -

"There is no legal framework for the registration of charities in Ireland. The Office of the Revenue Commissioners, Charities Section maintains a database of organisations to which they have granted charitable tax exemption. In granting tax exemption Charities Section give the body a CHY reference number...." ... "Charitable organisations mainly take one of three legal forms:
• an unincorporated association with a Constitution or Rules;
• a charitable trust established by Trust Deed;
• a company governed by a Memorandum and Articles of Association. ..."

Lack of PL insurance might be considered reckless trading if a licence under which the company operates requires that PL insurance be taken out. E,g, that is a standard condition in dance-hall licences under the 1935 Act.