Shafron v Australian Securities and Investments Commission

Directors of an insolvent company owe duties to creditors, and bank claims may be subordinated where unconscionable conduct is established in dealings with the insolvent company.

The standard of care under s 180 of the Corporations Act is that of a reasonable person in the director's position, having regard to the corporation's circumstances and the director's office.

A third party who knowingly participates in a breach of fiduciary duty is liable as an accessory under the Barnes v Addy knowing assistance principle.