COMM 315 Lecture Notes - Lecture 13: Fiduciary, Superior Court, Book Of Mormon Witnesses
11 Aug 2017
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Wise tried to reposition themselves to better compete in market, wise made deal to buy peoples from marks and spencer in 1992 merging both, get more locations, brand exposure. More costs appear, economies of scale was the objective didn"t work out. Wise couldn"t ameliorate their sales and pay m&s for acquisition of. End of 1992 they had bought peoples, by end of sept 1994 they were defaulting, insolvent, unable to meet debt obligation. Marks and spencer petitioned wise and peoples to be put into bankruptcy. Marks and spencer have no secured debt and thus lost a lot owed a lot of money. Mark and spencer/trustee of people sue wise brothers and say that they owed iduciary duty to creditors of company and to act in their best interest but didn"t do so. Decisions made were not supporting for stakeholders/creditors and resulted in great inancial losses. Marks and spencer claim that best interest of company is best interest of stakeholders.
