Company Law

In Re Lands Allotment and JJ Harrison (Properties ) Ltd v Harrision , confirming that a Director holds the proceeds made from a breach of fiduciary commerce as constructive trustee . A ` dression exercise entered into by a Director is void commensurate at the companyNow it needs to discuss Companies encounter 2006 . One of the bone effect objectives of the Companies personation 2006 was the change of the rights of nonage shareholders and to make directors more nonresistant to the shareholders they represent . However , if they fail in their duties , the introduction of demonstrate rights for a shareholder at present means that they tummy confine definite biteion against them . The Act makes a backsheesh of significant changes to shareholder rights , which thread through the different areas that the Act covers . N ow the Companies impart be allowed to check on whether or not the beneficial owner wishes to retain information rights on an annual basis .

Any failure to respond to such(prenominal) a check within 28 days exit mean that the company can assume that the rights have lapsedFor the precedent time , all the duties owed by directors to their company have been unrelenting out in statute , in Part 10 (ss .170-177 ) of the new Act The general duties are responsibility to act within powers , duty to promote the success of the company , duty to exercise reasonable care , skill and diligence , duty to exercise independent judgment , duty to avoi d conflicts of pursuit , duty to declare i! nterest in proposed transaction or agreement , and duty not to accept benefits from third benefits etc if they do not follow this section nonage shareholders can gravel action against directors . So it can be said , that the rights of minority shareholders have been improved by the enactment of the Companies Act 2006Before punctuate on to discuss Directors Duty it...If you want to get a luxuriant essay, order it on our website: BestEssayCheap.com

If you want to get a full essay, visit our page: cheap essay