Disclosure of interest
15 Disclosure of interest
A director who has a direct or indirect personal or pecuniary interest in a matter under consideration by the board—
must, as soon as they become aware of the interest, disclose the nature and extent of the interest to the board; and
must not take part in any deliberations or decision of the board on the matter and must be absent from the room when any such deliberations are taking place or decision is being made. Maximum penalty: Maximum penalty: $10 000.
If a director discloses an interest in a contract or proposed contract and complies with the other requirements of this section—
the contract is not liable to be avoided by the board;
and
the director is not liable to account for profits derived from the contract.
If a director fails to make a disclosure of interest or fails to comply with the other requirements of this section in respect of a proposed contract, the contract is liable to be avoided by the board.
A contract may not be avoided under subsection (3) if a person has acquired an interest in property the subject of the contract in good faith for valuable consideration and without notice of the contravention.
If, in the Trust's opinion, the holding of a particular interest is not consistent with the proper discharge of the duties of a member of the board, the Trust may direct the member either to divest themself of the interest or to resign from the board (and non‑compliance with the direction constitutes a ground for removal of the member from the board).
A disclosure under this section must be recorded in the minutes of the board.
This section does not apply to an interest that a director shares in common with all or a substantial proportion of the members of the
Trust.
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