Rule: A conflict of interest is a set of circumstances that creates a risk that professional judgment or actions regarding a primary interest will be unduly influenced by a secondary interest. Analysis: When the maintenance crew was ordered by the CEO to provide free services to the board of trustees, a conflict of interest occurred for the board members. The primary interests of the board of trustees are to serve the hospital, the community, and use resources responsibly. The secondary interest of accepting
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PR Rules 1.0 TERMINOLOGY (a) Belief actually supposed the fact in question to be true; may be inferred (b) Confirmed in writing informed consent given in writing (c) Firm/law firm 1.1COMPETENCE • Legal knowledge, skill, preparation reasonably necessary for representation • Relevant factors: o Compelexity and specialized nature of the matter o General experience of lawyere o Lawyer’s training and expeience in the field in question o Preparation and stude o Consult with lawyer of
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who is given control or powers of administration of property in trust with a legal obligation to administer the beneficiary’s interest, and the Cambridge dictionary defines “relating to the responsibility to look after someone else's money in a correct way”. It is obvious that the fiduciary concept involves the element of mutual trust and confidence: the property or interest of the beneficiary which relied on the protection of the trustee, a correct way arise an obligation that the behavior is monitored
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an interest. According to Section 132(1) of Companies Act 1965, a director shall at all times act honestly and use reasonable diligence in the discharge of the duties of his office. The directors have the following duties as being in fiduciary position: a. Duty to exercise power in good faith and in the interest of the company. b. Duty to avoid conflict of interest. c. Duty to exercise power for the proper purpose. a. Duty to exercise power in good faith and in the interest of
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1. Project Chariot involves a conflict of interests. Describe this conflict, who it is between, and who stand to gain or lose from this project. The conflict of interest exists between the shareholders and the bondholders. After Project Chariot is implemented, MII will be of low debt level and HMC will be with high debt. The original bondholders will be tied to risky real estate assets with uncertain appreciation and expected income. Shareholders will gain and bondholders will lose, since splitting
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The Principal Fiduciary Duties of Boards of Directors Presentation at Third Asian Roundtable on Corporate Governance Singapore, 4 April 2001 Professor Bernard S. Black Stanford Law School bblack@stanford.edu 1-650-725-9845 Introduction I want to offer an overview of the principal fiduciary duties of boards of directors. I will speak mostly from a common law perspective. Fiduciary duties of directors were first elaborated by common law judges, operating without any guidance from the
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standards) * The internet is making the fiduciary challenge even harder as it is distant and atomized * There is a conflict of interests between managers and consumers/shareholders * How you instill fiduciary responsibility in people and organizations is the key question…. (education? Oath?) * Regulators need to do a better job at mediating conflicts of interest * Mutual fund companies are an example of where competitive markets failed to function efficiently * Ethics need to
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allegiance (duty) to any particular company. Each director signed something to this effect. Therefore, the ethical issue is: Is this a conflict of interest, where the board of directors would be using their positions for personal gains? Or, since they have signed a statement to the effect that they have no duty to any particular company, does this negate the conflict of interest? In other words, the members of the broad directors would be using their position to gain new clients if when calling their personal
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prosecutor and for violation of Rule 15.03 of CPR. ISSUES: 1. Whether or not the respondent violated Rule 15.03 of CPR. 2. Whether or not being a former lawyer of Taggat posits conflict of interests with his work as Asst. Provincial Prosecutor HELD: The Court finds that there is no conflict of interest on the part of the respondent when he handled the preliminary investigation of the criminal charges filed by the Taggat Employees. The issue of the matter of the criminal complaint was
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Introduction - Director’s duties Even though the law recognizes corporations as separate and distinct entities from the owners, it nevertheless recognizes that corporations act through people. Such people are referred to as directors and manage the activities of a corporation. In Lennard’s Carrying Co. v. Asiatic Petroleum Co. Ltd, the court observed that directors are the directing mind and will of the company. Accordingly, directors of a company act for and behalf of the company, and as such owe
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