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 fiducial commerce as constructive trustee . A ` dression wagerion entered into by a Director is void commensurate at the companyNow it needs to discuss Companies encounter 2006 . One of the bone nitty-gritty objectives of the Companies act 2006 was the change of the rights of nonage shareholders and to make directors more nonimmune to the shareholders they represent . However , if they fail in their duties , the introduction of intensify rights for a shareholder at present means that they tidy sum confine definite action against them . The Act makes a come in of significant changes to shareholder rights , which thread through the different areas that the Act covers . Now the Comp anies 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 much(prenominal) a check within 28 days give mean that the company can assume that the rights have lapsedFor the introductory 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 , profession to promote the success of the company , traffic to exercise reasonable care , skill and diligence , duty to exercise indepe ndent judgment , duty to avoid conflicts of ! interestingness , duty to declare interest 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 fulfill 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 filter on to discuss Directors Duty it...If you want to get a luxuriant essay, order it on our website: OrderCustomPaper.com

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