you are approached by three clients robert, tom and oliver. we have just invented a new software program for use in accounting firm. the client inform you that they are interested in forming proprietary company limited by shares to mass produce the software. if the company is formed each of the client will hold equal shareholding in the company and will be company directors.

provide the following advices to your supervising partner on:

a) the personal liabilty of robert , tom, oliver as directors for debts and obligation incurred by the company. you should address the effect of the corporate shield on external liabilities and use reported cases to illustrate your explanation

b) the name and role of the federal regulator under the corporations act 2001