Mike,James,and Mary,advertising consultants,enter into a partnership and name it Sensational Adverts.About a year a year after the partnership is established,Mike and Mary have an argument and Mike tells the other partners that he will soon be leaving the partnership.A week later,Sensational Adverts is invited to submit a bid to produce an advert for a local beer company.Mike,who is the member of the partnership in charge of beer adverts,sees this as an opportunity to start his own business.Mike resigns from Sensational Adverts,starts his own company,and then submits a bid.Mike's bid is accepted.There is nothing legally wrong with Mike's conduct.

Question

Quizplus · Accepted Answer

Mike breached his fiduciary duty to Sensational Adverts by starting his own company and submitting a bid to a client that was originally meant for the partnership. This can be considered as an act of unfair competition and is legally wrong.

Mike,James,and Mary,advertising Consultants,enter into a Partnership and Name It Sensational