Corporations Act 2001

CHAPTER 2D - OFFICERS AND EMPLOYEES  

PART 2D.1 - DUTIES AND POWERS  

Division 1 - General duties  

Note: This Division applies in relation to CCIVs in a modified form: see sections 1224C .

SECTION 181   GOOD FAITH - CIVIL OBLIGATIONS  

181(1)   Good faith - directors and other officers.  

A director or other officer of a corporation must exercise their powers and discharge their duties:


(a) in good faith in the best interests of the corporation; and


(b) for a proper purpose.

Note 1: This subsection is a civil penalty provision (see section 1317E).

Note 2: Section 187 deals with the situation of directors of wholly-owned subsidiaries.

181(2)   [ Person involved in contravention]  

A person who is involved in a contravention of subsection (1) contravenes this subsection.

Note 1: Section 79 defines involved .

Note 2: This subsection is a civil penalty provision (see section 1317E).


View surrounding sectionsView surrounding sectionsBack to top


This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.