[Tooner]

As I have been leaving and breathing (not sleeping) Lehman Brothers in the last week, I found this article in Gulliver both amusing and disturbing

Business travel for a bankrupt company | Gulliver | Economist.com

Makes you think about what would happen if our employer went bankrupt while we were travelling on their behalf, where are we left.

Where did I put that guff about my corporate credit card....

BTW, if you haven't seen it, Gulliver is a useful blog, with interesting notes and extended Economist City Guides. (and no I'm not employed by them).

[Dave Noble]

When Im travelling I do try and minimise my exposure.

I am currently in the US and did get the business class flights reimbursed before I left and have been claiming hotels et al twice a week so my exposure is limited to a few nights hotel bills

Dave

[Mr_Gimlet]

I was an exec at Ansett when it went belly-up, and basically we were all liable for our own credit card bills for company travel etc. It was deducted from redundancy payment.

Some guys were up for thousands, I got away with next to nothing as I had a clear diary then.

[thewinchester]

Originally Posted by Tooner

BTW, if you haven't seen it, Gulliver is a useful blog, with interesting notes and extended Economist City Guides. (and no I'm not employed by them).

Thanks for the blog tip Tooner, haven't come across that blog before. Just been added to my feed reader list.

[Dave Noble]

The key thing is whether using a Corporate Card which has personal liability or one with corporate liability or whether using own funds to pay for the travel

If using personal money/card or using a corporate card which has individual liability , then the employee will be left liable for any monies owed.

If using a corporate card with corporate liability, then the employee is safe and will owe nothing

Ime, typically corporate VISA/MC tend to be corporate liability. AMEX offers Corporate cards in both Individual or Corporate, so will depend on the agreement signed

Dave

[oz_mark]

Originally Posted by Dave Noble

Ime, typically corporate VISA/MC tend to be corporate liability. AMEX offers Corporate cards in both Individual or Corporate, so will depend on the agreement signed

Amex can also be 'joint and several', so they can go after either party

[Dave Noble]

Originally Posted by oz_mark

Amex can also be 'joint and several', so they can go after either party

AMEX in AU offers

Corporate Liability - Employee not liable
Individual Liability - Employee Liable
Limited Liability - a hybrid for which the employee is liable for charges on the card other than those which are business expenses and the company is liable for business expenses

Dave

[oz_mark]

Originally Posted by Dave Noble

AMEX in AU offers

Corporate Liability - Employee not liable
Individual Liability - Employee Liable
Limited Liability - a hybrid for which the employee is liable for charges on the card other than those which are business expenses and the company is liable for business expenses

Dave

Wrong. American Express Corporate Card: Liability Protection


Joint & Several Liability
Both the company and the individual Cardmember are jointly and severally liable for charges incurred.

Limited Liability
The individual Cardmember is liable for all charges. The company is jointly and severally liable for:
Charges for business expenses which it fails to reimburse the Cardmember for; and
Charges incurred after the Cardmember leaves the employment of the company and before the company notifies us of this.

Individual Liability
The individual Cardmember is liable for all charges.

Full Corporate (Sole) Liability
The company is liable for all charges.

[bambbbam2]

At work we use the NAB Purchasing Cards.

I'm not sure who is ultimately liable, but I'd be worried if the government couldn't pay it's debts..

[Dave Noble]

Originally Posted by oz_mark

Wrong.
Limited Liability
The individual Cardmember is liable for all charges. The company is jointly and severally liable for:
Charges for business expenses which it fails to reimburse the Cardmember for; and
Charges incurred after the Cardmember leaves the employment of the company and before the company notifies us of this.

According to the agreement form for limited liability

Originally Posted by amex form

I understand and agree that I will be liable for all charges I make
with the Corporate Card, except business expenses of the Company for which the Company
has not reimbursed me. The Company named in this application is also liable to American
Express Australia Limited for business expenses of the Company which it authorises me to
make and which the Company has not reimbursed me for.

That agreement reads to me that the individual is only liable for non-business expenses whilst the company is liable for business expenses which would seem to contradict their description

I forgot about there being a "joint and several" card too

Dave