Monday, February 15, 2016

Directors cannot compete with company

The High Court of Delhi held that Director's grievance against company / co-director does not justify violation of his/her fiduciary duties under section 166 of the Companies Act,2013 by carrying on a business competing with that of the company. If he/she had any grievances, he/ she can avail the remedy but there is hardly any justification to start parallel/similar to the business of the company.

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