5/13/2011 Duty to act bona fide in the best interests of the company ·For most companies,.acting in the“company's interest"means acting to promote shareholder value. Brady v Brady [1988]BCLC 20 Nourse L:"the interests of a company,an artificial person, cannot be distinguished from the interests of the persons who are interested in.Who are those persons?Where a company is both going and solvent,first and foremost come the s/ers,present and o doubt future as well." 11 Duty to act bona fide in the best interests of the company The interests of other constituencies could be taken into account provided that so doing furthered the interests of shareholders. Hutton v West Cork Rly Co(1883)23 Ch D654 65/13/2011 6 11 • For most companies, acting in the “company’s interest” means acting to promote shareholder value.  Brady v Brady [1988] BCLC 20  Nourse LJ: “the interests of a company, an artificial person, cannot be distinguished from the interests of the persons who are interested in. Who are those persons? Where a company is both going and solvent, first and foremost come the s/ers, present and o doubt future as well.” Duty to act bona fide in the best interests of the company 12 • The interests of other constituencies could be taken into account provided that so doing furthered the interests of shareholders.  Hutton v West Cork Rly Co (1883) 23 Ch D 654 Duty to act bona fide in the best interests of the company