What is the ratio in Bhullar v Bhullar?

Directors breach their fiduciary duties by personally exploiting opportunities that belong to the company, even if the company was unable to take advantage of those opportunities due to financial constraints or internal deadlock.

What did the court decide in Bhullar v Bhullar?

The Court of Appeal held that the directors had breached their fiduciary duties and must account for profits made from purchasing property that constituted a corporate opportunity.

Why is Bhullar v Bhullar important for company law?

It demonstrates the strict application of the no-conflict rule and shows that directors' fiduciary duties are absolute, regardless of practical constraints preventing the company from pursuing opportunities.

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