Question
C Company owned a number of properties in Timbuktu which were designated for housing development. A prospective buyer in Timbuktu offered to buy one such
C Company owned a number of properties in Timbuktu which were designated for housing development. A prospective buyer in Timbuktu offered to buy one such property but the board of directors of C Company rejected the offer. D was a member of the board of directors. A few weeks later, D was approached by some investors to form a partnership to purchase the property. D did so and the partnership bought the property from C Company. Which statement below correctly states the legal position?
A.D is liable for not disclosing to the board of directors of C Company his interest in the partnership which bought the property
B.D is in breach of director's duty on the ground that when the property was bought, he had taken an opportunity which belonged to C Company
C.D is liable as he had used confidential information obtained in his capacity of director of C Company
D.None of the above
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