Sarah, Ling Mei and Sven are the directors and shareholders of a data storage solutions company called Blocktech Pty Ltd (Blocktech). Sarah wants the business to take a new direction - innovation in the music industry. Gnosis Records recently put out a new project to public tender, dealing with music files for a new streaming service. In a meeting of the directors in February 2020, Ling Mei and Sven voted to decide that the company should not submit a bid, because it was a new industry they knew nothing about and they were already having trouble serving their existing clients. Later in February 2020, Sarah decided to incorporate another company, Disrupt Pty Ltd (Disrupt), where she became the sole director and shareholder. Disrupt submitted a bid to Gnosis Records, which was ultimately successful at obtaining a $5 million contract over 5 years. The estimated profit over the life of the contract is $1.8 million. In April 2020, Sarah decides that she can serve her existing clients better through the more innovative strategies used in Disrupt. One night after the other directors and staff had gone home, she downloaded Blocktech's complete client list. The next day, she resigns as a director of Blocktech. Sarah uses the client list to call around, but none of the clients agree to sign on to Disrupt. Ling Mei and Sven find out about these calls, and the contract with Gnosis Records, and are extremely unhappy. Advise Blocktech as to whether it can take any action against Sarah in relation to: a) the contract between Gnosis Records and Disrupt (5 marks) b) Cloud Tech's client list