Confidentiality of company's information: Challenges for nominee director

Hassan, Halyani and Abd Ghadas, Zuhairah Ariff (2017) Confidentiality of company's information: Challenges for nominee director. Pertanika Journal of Social Sciences& Humanities, 25 (S) (Special edition). pp. 143-154. ISSN 0128-7702 E-ISSN 2231-8534

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Abstract

Company directors are subject to certain fiduciary duties discussed under common law and in statutory provisions. Directors’ fiduciary duties include duty to protect the confidentiality of company information. Any information that belongs to the company is to be used only by the company for the company. Such information is considered the property of the company and it must be used to the advantage of the company. The objective of this paper is to discuss the duty of nominee directors concerning the confidentiality of company information. Nominee directors who actually represent their nominators on a board of directors will find their duty challenging as they might be expected by their nominators to provide them with certain company information. The study is based on doctrinal and statutory analysis of selected jurisdiction as well as cases based on various jurisdiction. It is argued that nominee directors are in a vulnerable position as directors who are representing their nominators at the same time. Though it has been clearly legislated that their loyalty is to the company they should to a certain extent be allowed to disclose information that would not jeopardise their companies.

Item Type:	Article (Journal)
Additional Information:	1474/65068 Preface This issue includes various papers which were presented at the 4th International Conference on Law and Society (ICLAS) 2015, the International Conference on Waqf (ICW 2015), the International Seminar on al-Quran in Contemporary Society (SQ 2015) and the International Conference on Empowering Islamic Civilisation (ICIC 2015). All the conferences were held at Universiti Sultan Zainal Abidin, Kuala Terengganu in 2015. ICLAS and ICW were hosted by the Faculty of Law and International Relations (FLAIR), in collaboration with Harun M. Hashim Law Centre, the International Islamic University Malaysia (IIUM); Muhammadiyah University Yogyakarta (UMY), Indonesia; Istanbul University, Turkey; and Fatoni University, Thailand. The other two conferences, SQ 2015 and ICIC 2015, were organised by the Research Institute of Islamic Products and Civilisation (INSPIRE), UniSZA.
Uncontrolled Keywords:	Company information, confidentiality, nominee director
Subjects:	K Law > K Law (General) K Law > KPG Malaysia
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Ahmad Ibrahim Kulliyyah of Laws Ahmad Ibrahim Kulliyyah of Laws > Department of Civil Law
Depositing User:	Asst. Prof. Dr. Halyani Hassan
Date Deposited:	13 Sep 2018 09:09
Last Modified:	13 Sep 2018 09:09
URI:	http://irep.iium.edu.my/id/eprint/65068

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