- James is a director in Nunu Ltd. Nunu Ltd is a company that sells leather shoes and travelling bags. James has recently come across a business opportunity while on holiday in Malaysia. The business opportunity involves the manufacture of leather purses. James feels that the opportunity is not something the board of directors at Nunu Ltd will be interested in, so he decides to keep it to himself. Also, Nunu Ltd is about to open a new store in Coventry city centre. They are looking to lease a property which coincidentally belongs to Ali who is James’ brother-in-law. Ali has offered James a 10% commission if Nunu Ltd leases his property. The rest of the board of directors are unaware of this fact. James has decided not to inform them.
Taking into consideration relevant provisions of the Companies Act 2006 and case law, advice James on any potential breaches of his duties as a director as well as the consequences of any breach.
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