Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Kevin is the managing director of a building and construction company ABC Pty Ltd. The Company is involved in developing inner city student apartments located

Kevin is the managing director of a building and construction company ABC Pty

Ltd. The Company is involved in developing inner city student apartments

located in Melbourne and Sydney. One day, Kevin becomes dissatisfied with his

position and decides to leave ABC Pty Ltd and set up his own design and

construction company developing student accommodation in regional Victoria and

New South Wales. Kevin obtains the buyers list from ABC Pty Ltd which he

believes will help his new company "Regional Student Apartments Pty Ltd"

establish its profile. Kevin also decides to make his wife (Samantha) and his son

(Brad) both directors of Regional Student Apartments Pty Ltd. Samantha

previously worked at ABC Pty Ltd as the chief financial officer. Samantha has an

accounting and auditing background. Brad was employed as a casual builder

and operated as an independent contractor on some projects at ABC Pty Ltd but

was not happy with the way he was treated and has since left the company to join

his father's new operation.

Required

(a) Advise as to whether Kevin has breached his directors' duties under the

Corporations Act 2001 (Cth) or fiduciary duties under the common law.

(b) Advise whether Samantha has breached any director or fiduciary duties.

(c) Advise whether Brad has breached any director or fiduciary duties.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Probability And Statistics For Engineering And The Sciences

Authors: Jay L. Devore

9th Edition

1305251806, 978-1305251809

Students also viewed these Law questions

Question

What are the benefits of making a to-do list? (p. 299)

Answered: 1 week ago