In economic disputes “disloyal administration” and “misappropriation” are used interchangeably. They are different types: who may report, what must be proved and which measures fit change. Confusing them in complaint or defence is among the costliest errors. This analysis states the practical difference we apply when cash, mandate or corporate management is involved.
Misappropriation, briefly
Someone lawfully receives another’s money or movable property —deposit, collection, mandate— and keeps it with intent to profit.
Focus is on initial lawful possession and later failure to return.
Common with directors mixing accounts, trusted employees and intermediaries retaining collections.
The victim is often whoever delivered or had the right to restitution.
Disloyal administration, briefly
The actor manages another’s property —often corporate assets— against the owner’s interest by breaching duties.
Not always “collect to return”: harmful contracts, diverted opportunities, payments to related parties.
The harmed party may be the company; shareholders act via corporate or criminal routes as appropriate.
Links to weak governance and opaque accounting.
How we choose the route
If money entered the accused’s hands for a concrete purpose and did not return, we look at misappropriation.
If harm is management decisions emptying the SL, we look at disloyal administration.
Sometimes facts fit concurrent types; sometimes one clear main story works best.
Civil liability and standing change. We decide before the first brief.
Evidence that weighs
Bank trails and accounts compared with concrete decisions (contracts, payments, withdrawals).
Breached duties: articles, shareholders’ pact, mandate, internal rules.
Expert evidence when opaque. Courts reward numerical clarity.
In defence: justify reasonable business decisions, not only deny.
What we ask upfront
Exact role: director, attorney-in-fact, employee, intermediary.
Documentation of deliveries and corporate governance.
Insolvency or proceedings: status and insolvency administrator.
With that we align complaint, measures and, if needed, commercial claim without contradiction.