Posted by : Fergal McLoughlin
| Date posted : 21/12/2011
The Court of Appeal decision in Towers v Premier Waste Management Limited is an important reminder of the strict application of the fiduciary duties directors owe to their companies. These duties were codified in the Companies Act 2006 and can have a serious impact on even seemingly innocent or insignificant benefits that are obtained by directors through dealings with their companies. Yet, although application of these duties is broad and flexible, the courts are likely to take a strict and technical approach to liability when enforcing them, as illustrated by this case.