Fleet managers are being urged to ban all mobile phone use after a company director was convicted of carless driving over the use of a hands-free device.

Lynne-Marie Howden, 43, a director and head of sales at business consultancy company Insights, was found not guilty of causing death by dangerous driving.

But, in what safety campaigners are calling a “landmark case”, she was convicted on the lesser charge of carless driving and was banned from driving for 12 months and fined £2,000.

In passing sentence at Warwick Crown Court, Judge Richard Griffiths-Jones said: “What happened to you in this case is a lesson to us all about the dangers of talking on the phone while we drive.”

The court had heard how Howden was talking on her hands-free phone to a work colleague when she ploughed into a car in the oncoming lane.

“I believe this is the first case where a conviction has been obtained as a result of a hands-free mobile phone conversation,” said David Faithful, legal adviser to RoadSafe.

“The verdict sets a clear precedent and has a significant impact for the entire fleet industry and business community.”

Had the crash occurred after the introduction of the Corporate Manslaughter and Corporate Homicide Act, then charges may have been brought under that law, added Mr Faithful.

Caroline Scurr, director of Driving for Better Business, said: “Every fleet should consider if their current mobile phone policies are tough enough in light of this incident.”