Question
Datacon Ltd (Datacon) specializes in IT installations for the retail trade. Ted, a director of Datacon, was approached in a private capacity as a well-known
Datacon Ltd (Datacon) specializes in IT installations for the retail trade. Ted, a director of Datacon, was approached in a private capacity as a well-known expert in the field and invited to join the board of Input Ltd, whose business mirrors to a certain extent Datacon's business. Ted accepted an invitation to be a director while remaining on the board of Datacon, and acted as a consultant and adviser. Having developed a rival system to Datacon, Input Ltd organized a public launch of the new product. For the launch, Ted contacted a number of Datacon's clients. The launch led to the signing up of a number of major clients, including some clients of Datacon.
(i) Advise the board of Datacon of any breaches of duty committed by Ted, and any remedies available against him.
(ii) Would your answer be different if he had resigned his directorship of Datacon when he joined the board of Input Ltd?
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