Section B - Scenario 4
SCENARIO: 'BioSynth Plc' is a synthetic biology firm. Dr. Aris is a director. BioSynth is approached by an investor offering a lucrative contract to develop a new enzyme. The board of BioSynth declines the contract because the company lacks the specific lab equipment required. Dr. Aris, seeing the potential, resigns from BioSynth and sets up his own private company, 'ArisEnzymes Ltd', which buys the equipment and takes the contract for itself, making a £500,000 profit.
QUESTION: Which specific statutory duty under the Companies Act 2006 has Dr. Aris most likely breached?
ACCA · Question 57 · Management, administration and the regulation of companies
Section B - Scenario 4
SCENARIO: 'BioSynth Plc' is a synthetic biology firm. Dr. Aris is a director. BioSynth is approached by an investor offering a lucrative contract to develop a new enzyme. The board of BioSynth declines the contract because the company lacks the specific lab equipment required. Dr. Aris, seeing the potential, resigns from BioSynth and sets up his own private company, 'ArisEnzymes Ltd', which buys the equipment and takes the contract for itself, making a £500,000 profit.
QUESTION: What is the most likely remedy BioSynth Plc will seek against Dr. Aris for this breach?
Answer options:
An injunction to stop him working in biology.
An account of profits, requiring Dr. Aris to hand over the £500,000.
Damages for breach of contract limited to his director's salary.
Criminal prosecution for theft.
60 questions · hints · full answers · grading
Expert