Section 260(2)(g) of the Corporations Law may be used to short-circuit the rule in Foss v Harbottle, enabling the court to make direct orders for accounting against wrongdoers in oppression proceedings without requiring the company to bring separate proceedings. The appropriate remedy for diversion of corporate opportunity in oppression proceedings is an account of profits rather than a constructive trust where the fiduciary invested their own resources, bore the financial risks, and the business became profitable through independent efforts. An oppressed plaintiff cannot be compelled to sell shares to the oppressors, as this would allow the oppressors to benefit from their own wrong. Delay by the plaintiff in commencing proceedings may limit the temporal scope of the accounting remedy.
The full text is available to signed-in members, including the 115 later cases that cite this judgment.
10 of the 115 citing cases carry a classified treatment. How each court treated it is available to signed-in members.