Hawaiian International Finances, Inc. v. Pablo
Supreme Court of Hawaii
488 P.2d 1172 (1971)
Relevant factsFree
Pastor Pablo (defendant), president of Hawaiian International Finances (plaintiff) and owner of a separate real estate company, helped broker the corporation's purchase of two properties; the selling agents split their commissions with Pablo, who never disclosed this to the corporation, which only learned of the payments months later at a corporate meeting. Hawaiian International sued Pablo for breach of fiduciary duty, and the circuit court ruled in Pablo's favor.
IssueFree
Whether a corporate director, while engaged in a transaction on behalf of the corporation, may retain an undisclosed profit from that transaction.