Commonwealth Repealed Acts

This legislation has been repealed.

CORPORATIONS LAW- SECT 190

Responsibility for actions of delegate

 
 
(1)
If the directors delegate a power under
section 198D, a director is responsible for the exercise of the power by the
delegate as if the power had been exercised by the directors themselves.


(2)
A director is not responsible under subsection (1) if: 

 
 
(a)
the director believed on
reasonable grounds at all times that the delegate would exercise the power in
conformity with the duties imposed on directors of the company by this Law and
the company's constitution (if any); and

(b)
the director believed: 

 
 
(i)
on
reasonable grounds; and

(ii)
in good faith; and

(iii)
after making proper inquiry if the circumstances indicated the
need for inquiry; 

 

that the delegate was reliable and competent in relation to the power
delegated.