Corporate Governance · glossary
A position in which a director stands to gain from the other side of something the company is deciding. It is a position, not an accusation. The Act deals with a deal with the company under section 177, and with a standing situation under section 175. Charter Part 5 · Charter Part 8 · Chapter 4 · Chapter 5
Explained in Chapter 4, Conflicts: The Packaging Contract, of Corporate Governance.
A director has a conflict of interest when she stands to gain from the other side of a deal her company is doing. The gain may be direct, in her own pocket, or indirect, through her family. The law does not forbid the deal. It makes the interest known before the decision, and it takes the interested director out of the deciding.Read Chapter 4, Conflicts: The Packaging Contract →
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This term is part of one complete fictional deal, with every document attached and a test after every chapter. Open Corporate Governance → · All terms A–Z →