Failing to Prevent Bribery

Section 7 of the Bribery Act 2010 creates a distinct corporate offence: a "relevant commercial organisation" is guilty if a person associated with it bribes another person intending "to obtain or retain business for C, or to obtain or retain an advantage in the conduct of business for C". The offence requires no proof that anyone at board or senior management level knew about or authorised the bribery — it is enough that an "associated person" (which can include an employee, agent, or subsidiary) committed a bribery act under section 1 or 6 of the Act. It is a defence for the organisation to prove that it had in place adequate procedures designed to prevent persons associated with it from engaging in such conduct, a defence the organisation bears the burden of establishing.

The offence applies to bodies incorporated in the UK carrying on business anywhere, and to bodies or partnerships formed outside the UK that carry on business, or part of a business, in any part of the UK, meaning multinational groups with only a UK sales presence can be caught. Because the only defence turns on the adequacy of anti-bribery procedures, the offence has driven widespread corporate adoption of bribery risk assessments, due diligence on third parties (agents, distributors, joint-venture partners), and staff training, following guidance the Secretary of State is required to publish under section 9 of the Act.