The economic downturn is leading some businesses to fall
foul of the Corporate Manslaughter Act and, according to
Consolidated Fork Truck Services Chairman John Chappell,
it’s the directors and managers of SMEs who are most at risk
of prosecution

Hard times and poor cash flow can
tempt some fork lift truck users into
delaying their annual Thorough
Examination but the introduction of the
Corporate Manslaughter Act (CMA) makes
it more important than ever before to ensure
your fork lift trucks have valid Reports of
Thorough Examination.

John Chappell comments “Neglecting this
statutory requirement exposes you to
unnecessary risks if there is an accident.

Firms can now be found guilty of corporate
manslaughter as a result of serious
management failures amounting to a gross
breach of a relevant duty of care.

“Whether you buy your fork lift truck or
hire it, long term or short term, you have a
legal – and moral – responsibility to ensure it
has a current Report of Thorough
Examination. You should never assume that
someone else has taken care of that
responsibility: doing so could be an
expensive mistake”
Under the CMA, failure to comply with
legislation could result in fines of up to 10%
of a firm’s annual turnover, potentially a
terminal blow for smaller businesses. The
courts also hold the power to impose
publicity orders, forcing a company to
advertise details of the conviction. This type
of sanction could negatively impact upon a
business of any size. Remedial orders can
also be levied, compelling a company to
demonstrate that corrective measures have
been taken within the organisation.

“Importantly, it isn’t the large
corporations who are being prosecuted,”
adds Chappell. “Directors and senior
managers of small and medium sized
businesses are more likely to end up in the
courts.

“Their hands-on and day-to-day
involvement in their company’s activities
mean these individuals are easier to convict.

What’s more, prosecutions of individuals are
far more common than ever before,
reflecting the political will to hold
individuals accountable after any major
incident.”
To be certain of complying fully with the
law, fork lift truck industry leaders
recommend obtaining Thorough
Examinations through companies accredited
to the CFTS Thorough Examination scheme.

CFTS is the organisation founded as a
joint initiative between materials handling’s
two major industry trade associations – the
Fork Lift Truck Association (FLTA) and the
British Industrial Truck Association (BITA) –
to develop and administer that industry’s
national accreditation scheme for Thorough
Examination.

The CFTS scheme was developed in close
consultation with the HSE to meet all the
requirements of the legislation – and the
special demands of fork lift trucks.