Reviewed case brief

Ferguson v Wilson

(1866) LR 2 Ch App 77

The Court of Appeal in Chancery established that directors of a company are its agents, appointed to manage its affairs within the scope of authority conferred by the memorandum and articles. Their relationship with the company is fiduciary in nature, requiring them to act in good faith and in the c

directorsagencyfiduciary-relationshipcompany-management
Court
Court of Appeal in Chancery
Year
1866
Subjects
Company Law
Reviewed
2026-06-30

Rule established

Directors are agents of the company and stand in a fiduciary relationship to it; they must act within their authority and in the company's interest.

Facts

    Issues

      Held

        Ratio decidendi

        How to use it in an exam

        Editorial source

        (1866) LR 2 Ch App 77

        Educational summary only. Read the reported judgment or an authorised law report before relying on the case professionally.