Company law

Instructions Please answer BOTH questions: Forever21 is a fashion retail company built in 1984 by a husband and wife team. (1) Throughout its business growth, the founders remain on the Board (of Directors) and as shareholders of the company. Their daughters were also groomed as Executives, and they learnt the workings of the business while in university (https://www.nytimes.com/2019/10/23/business/forever-21- bankruptcy-chang-family.html). Relate your views, how the directors may exercise their "fiduciary duty" and good governance in family-owned companies such as this. (2) It was recently reported in the news that this company has filed for bankruptcy and has proposed some settlement with its creditors (https://www.cnbc.com/2020/02/03/forever-21- reaches-deal-to-sell-its-retail-business-for-81-million.html). Describe how the process of "liquidation" will affect this company Learning Outcome: Identify legal issues related to incorporation and management of companies based on given scenario, case studies and questions. (C1, PLO1)