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Paragraph 18B F1

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

(1)

The duties that a director of a public benefit corporation has by virtue of being a director include in particular—

(a)

a duty to avoid a situation in which the director has (or can have) a direct or indirect interest that conflicts (or possibly may conflict) with the interests of the corporation;

(b)

a duty not to accept a benefit from a third party by reason of being a director or doing (or not doing) anything in that capacity.

(2)

The duty referred to in sub-paragraph (1)(a) is not infringed if—

(a)

the situation cannot reasonably be regarded as likely to give rise to a conflict of interest, or

(b)

the matter has been authorised in accordance with the constitution.

(3)

The duty referred to in sub-paragraph (1)(b) is not infringed if acceptance of the benefit cannot reasonably be regarded as likely to give rise to a conflict of interest.

(4)

In sub-paragraph (1)(b), “third party” means a person other than—

(a)

the corporation, or

(b)

a person acting on its behalf.

Annotations

Textual amendments

F1

Sch. 7 para. 18B inserted (1.4.2013) by Health and Social Care Act 2012 (c. 7), ss. 152(2), 306(4); S.I. 2013/160, art. 2(2) (with arts. 7-9)