Can directors of a company purchase their shares without disclosing pending negotiations for the sale of the company's undertaking?
Alberta, Canada
The following excerpt is from Nir Oil Ltd. v. Bodrug, 1985 ABCA 123 (CanLII):
In the first, Percival v. Wright [1902] 2 Ch. 421, a decision of Swinfen Eady, J., the headnote which accurately summarizes the judgment states: "The directors of a company are not trustees for individual shareholders, and may purchase their shares without disclosing pending negotiations for the sale of the company's undertaking."
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