Sorainen Successful in Defense of Former Kedainiu Aruodai Director in Claim by Company

Sorainen Successful in Defense of Former Kedainiu Aruodai Director in Claim by Company

Lithuania
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Sorainen has successfully defended Valdas Sarunas, a former director of Lithuania's Kedainiu Aruodai grain producer and seller, against a claim for damages brought by the company.

According to Sorainen, "last year Kedainiu Aruodai blamed the former manager for a bad harvest and related losses and claimed more than EUR 1 million in the Kaunas Regional Court. On October 11, 2018 the Court rejected the claim by Kedainiu Aruodai and ordered payment of almost EUR 15,000 by the company to Mr. Sarunas. The decision of the Kaunas Regional Court may still be appealed to the Lithuanian Court of Appeal within thirty days."

“The case is quite unique and significant as Kedainiu Aruodai was trying to prove a manager's personal liability for loss suffered by a legal entity," explained Sorainen Partner Laurynas Lukosiunas, who represented Sarunas in court. "The claimant asserted that the company manager should be liable for the entire loss suffered by the company, regardless of the reasons for loss. If such a precedent were to be set, it would eliminate the legal distinction between the responsibility of a legal entity and its manager, which would greatly complicate doing business in Lithuania. Working as a professional hired manager would carry immeasurable risk.”

The Sorainen team led by Lukosiunas included Associates Vita Sabalyte and Indre Peledaite.