‘The exercise of fiduciary powers for mixed purposes: A comment on Eclairs Group Ltd v JKX Oil and Gas plc

“The proper purposes doctrine, also known as fraud on a power, is a cornerstone of the law of legal powers. The donee of a fiduciary power must exercise it only for the purposes for which it was conferred by the donor. For company directors, this rule is codified in s 171(b) of Companies Act 2006, which states that directors must ‘only exercise powers for the purposes for which they are conferred’ …” (more)

[Remus Valsan, Edinburgh Centre for Commercial Law Blog, 8 April]

First posted 2016-04-09 08:19:49

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