The first prosecution for corporate manslaughter will give companies a better indication of how the new law will work in practice, says legal firm DWF

Cotswold Geotechnical Holdings, of Birdlip in Gloucestershire, faces charges under the Corporate Manslaughter and Corporate Homicide Act 2007 over the death of junior geologist Alexander Wright, who was taking soil samples from inside a pit near Stroud when the sides of the pit collapsed and crushed him.

The company has been charged with corporate manslaughter and with health and safety offences. One of the directors, Peter Eaton, has also been charged with gross-negligence manslaughter and health and safety offences.

Steffan Groch, a partner with DWF and a leading health and safety lawyer, says that, under the new law, an organisation can be convicted of the offence if its activities are organised in such a way that it has breached its duty of care to the person who died.

There has to be evidence of senior management failure.

Groch says what is learned from the latest case will depend to some extent on how the company pleads.

“If the company pleads not guilty, we might see an exploration of what the terms ‘senior manager’ and ‘falling far below’ in the duty of care actually mean,” says Groch.

“On the other hand, if it pleads guilty, we will still get to learn something, such as how big the fines are likely to be. The sentencing guidelines for the Act have not yet been finalised. The judge will be aware that this is the first prosecution and may apply a larger fine.”

The new rules should make it easier to convict larger firms with layers of management.