Braydon Waller Essays (232 words) - Corporate Law, Equity

Braydon Waller Business law 231 Professor Gilbertz November 5, 2017 Chapter 23 It would seem that Gedicke did breach the duty of loyalty by starting his own transport company and selling the same products to the same businesses as his employer was. Gedicke was a fiduciary because he was trusted to act in the best interest for the business and not his own interests. Duty of loyalty requires the person to be completely honest dealings and avoidance of conflicts between interests. The one under the duty of loyalty has to include notification of all compensation the agent expects from the dealings. Gedicke did not inform Cameco of the dealings and of the business he had started, while also using the trucks and costumers of the business. So it was a breach of loyalty because he never informed Cameco of the formation of Newton Transport Services and of what the company was doing. 5. Yes Reyes would have broken the duty of loyalty. Because he never informed Chernow of the company he started on his own to compete with what Chernow was already doing. Even though that Reyes did not take any of the same costumers that Chernow had he still had never informed him of the competing business he had formed in his own interest, that was not in the best interest of the business he was already working for.