Minnie Mouse holds 1% of the shares in Universal Pty Ltd. There are four other shareholders, each of whom is also a director. Minnie suspects that the directors may have been personally profiting at the expense of the company. At a recent general meeting, a resolution was passed resolving that Universal Pty Ltd had no interest in a transaction, which the directors had personally undertaken and profited from. When Minnie complained to the directors, they threatened to convene a general meeting to create a constitution giving them the power to compel her to sell her shares to them.

Advise Minnie on the duties the directors may have breached both under the Corporations Act 2001 (Cth) and case law by personally profiting at the expense of the company. Also discuss any courses of action under the Corporations Act 2001 (Cth) that a member like Minnie could use to initiate legal action against the directors.

NOTE: You are required to use the 4-steps process in answering this question. The marks allocated for the steps are as follows: