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Oriel, Lars and Reese are directors of Sweetie Pty Ltd. Sweetie owns and operates a very profitable confectionary retailing business. Reese owns 50 shares in

Oriel, Lars and Reese are directors of Sweetie Pty Ltd. Sweetie owns and operates a very profitable confectionary retailing business. Reese owns 50 shares in Sweetie and Oriel and Lars each own 25 shares. Oriel and Lars have a bitter disagreement with Reese. Lars calls a board meeting and the following resolution is proposed. Cheri is Oriel's wife. Oriel and Lars vote in favour of the resolution and to vote Reese off the board. At the meeting Cheri, Oriel and Lars vote Reese off the board. The next week, Oriel and Lars hold a directors' meeting and appoint Cheri as a director. Did the directors breach any of their duties in passing the resolution to issue the shares to Cheri

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