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CASE ANALYSIS. Case Summary  Growfast Pty Lid has thre

   

Added on  2023-04-11

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CASE ANALYSIS
CASE ANALYSIS. Case Summary  Growfast Pty Lid has thre_1

Growfast Pty Lid has three directors who are
also the only shareholders (Sam, Peter,
Rose)
Since six months, company has been facing
competition
Sam locates a new premises and calls board
meeting for approval of buying
Rose is reluctant while Peter does not
understand the financial implications
Company purchases the new land but
profits remain low leading to chances of
bankruptcy
Case Summary
CASE ANALYSIS. Case Summary  Growfast Pty Lid has thre_2

Key issue is to determine if Rose as non-
executive director is in violation of the
following duties.
Duties of directors bestowed under common or
general law
Statutory duty to care and conduct due diligence
as highlighted in Corporations Act 2001
Issue
CASE ANALYSIS. Case Summary  Growfast Pty Lid has thre_3

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