Company Law Reform Bill [HL]

moved Amendment No. 88:"Page 70, line 10, after ““opportunity”” insert ““which is within the ambit of the business of the company””" The noble Lord said: My Lords, following Committee stage, the Law Society has maintained that the application of Clause 159(2) requires clarification. The clause refers to,"““the exploitation of any property, information or opportunity””." As drafted, it is not clear whether that applies only to property, information or opportunities that fall within the ambit of the company’s business—which, as I understand it, is the position under the current law—as distinct from any property, information or opportunity whatever. Read literally, Clause 159(2) goes well beyond the position of common law. It is assumed that the intention is not to extend the common law in this way, as to do so would make the role of a director unattractive. The amendment is intended to achieve the objective of rendering the duty to avoid conflicts of interest more practicable for companies and directors. I beg to move.