3.3.1 Focus of quantitative analysis using Dutch court cases (2003-2013)

The central focus in this quantitative part of the research is to determine, based on a sample of court decisions (2003-2013), which contextual and behavioural factors of legal cases are most influential in determining directors’ liability within the analytical framework of ‘serious reproach’. Accordingly, the quantitative analysis will focus on measuring the relationship between the courts’ decisions (the ruling on whether the director was personally liable) and several predictor variables (contextual and behavioural legal case factors). The predictor variables are thus legal case factors that are presumed to affect the case outcome.

In paragraph 3.2.5, I assumed on the basis of legal analysis that courts generally evaluate directors’ liability using a simple legal decision model. Within this model, I argued that the factors of ‘norm violation’ and ‘foreseeability of damage’ are important in establishing directors’ liability. In this quantitative part of the research, I will put this simplified model to a test. As established case law prescribes a multi-factor analysis of directors’ liability,1 which may cause a court to deem a director to be personally liable, I will attempt to analyse and compare the independent effects of several relevant contextual and behavioural legal case factors on the case outcome and calculate their predictive value. Before discussing the results, I will elaborate on the characteristics of the sample of court decisions and how I selected the cases. Subsequently, I will indicate how I have coded the decisions to enable statistical analysis. Finally, I will pay some attention to the statistical strategy used in this research.