CHECK THESE SAMPLES OF Company and Securities Law - Duty to Care and Diligence
The Corporations Act 2001 requires directors to exercise due care and diligence during the discharge of their duties towards the company.... In particular it was to be ascertained whether the duty of care and diligence stipulated in Section 180(1) of the Corporations Act 2001 had been breached due to the provision of a defective media statement to the Australian Securities Exchange regarding the ability of the company to meet certain future liabilities (Hargovan, 2009, p....
9 Pages
(2250 words)
Research Paper
In fixing the director's duty of care and skill in the process of supervising the activities of management, UK law has sought to avoid the pitfalls of a purely objective and a purely subjective test, preferring to combine them.... In the paper 'Company Director's Duty of care' the author analyzes proposals for reform that will have impact on Directors, Shareholders and Auditors of companies.... uty of care in English law In tort, there can be no liability in negligence unless the claimant establishes both that he or she was owed a duty of care by the defendant, and that there has been a breach of that duty (Buckley, 2005; Booth & Squires, 2006)....
8 Pages
(2000 words)
Essay
The board of directors is given power by the owners of the business (shareholders) to run a company and they do this by making decisions and supervising activities in the organization.... The director however got the contract but it was declared that a fiduciary duty existed with the defendant and hence, the breach of that duty made it ineligible for the director to abuse privileged information for his personal benefit.... This case study "Corporate Legal Framework" examines important elements of Australian Company law....
7 Pages
(1750 words)
Case Study
The paper "Due diligence in M&A" discusses that the purpose of due diligence is to minimize risk, maximize deal value and provide an opportunity to the bidder to have a fair evaluation of the target company.... Due diligence is a necessary requirement to fulfill when a merger takes place.... In the US, due diligence has become a requirement due to the establishment of a duty of care.... The Board of directors of a company is required to exercise a duty of care that involves the performance of due diligence examination before the company acquires a business....
3 Pages
(750 words)
Essay
As you may note from the above, setting up a business as a private limited company in this manner will enable the company and its shareholders to enjoy all the benefits of a corporation, without liability for Company debts.... This paper "The Case from Business law" discusses issues of a public limited Company.... The case of Solomon v Salomon & Co Ltd3 established the corporation as a distinct legal entity in common law, with existence and personality separate from the people that comprise it....
8 Pages
(2000 words)
Case Study
The paper "Company and Security Law" states that currently many cases have come under the provisions of section 180(1) that a director is to exercise their powers as well as discharge their duties with care and diligence.... The main difference was based on the fact that the Court of Appeal (AWA Ltd v Daniels t/a Deloitte Haskins & Sells) in their view stated that all directors both executive and non-executives are to comply with stricter standards of care and skill and diligence depending on the size of the business (Greenhow 2005)....
5 Pages
(1250 words)
Assignment
Thus, the director has to act in good faith, in the best interests of the company, avoid a personal interest or duty that conflicts with his duty towards the company, and utilize company property solely for the latter's benefit.... B Rule of LawIn Australian Securities & Investments Commission v Macdonald (No 11), the High Court held that seven of the former non-executive directors of the company had made a misleading statement regarding the company's asbestos compensation fund, thereby breaching the law....
5 Pages
(1250 words)
Assignment
Tel Communications Company failed to meet their legal duty of care during months just before their company collapsed in May 2001.... As the company's executive directors, Rich and Silbermann were required by law to provide sufficient material information concerning One.... The law requires securities and investment agencies to protect shareholders and other stakeholders from unscrupulous executive directors who can bend the rules for selfish gain....
8 Pages
(2000 words)
Case Study