Kodogo Pty Ltd (in Liq) v Tabart

Kodogo Pty Ltd (in liquidation) sued John Edward Tabart for moneys allegedly lent to him while he was employed by the Qintex Group. The defendant had no contact with, or even knowledge of, the plaintiff prior to 31 January 1989. The court was required to determine whether the plaintiff's loans to the defendant were made in breach of the fiduciary duty owed by the defendant's employer to the company. The court found that the agreements to make the loans were not made in breach of fiduciary duty and that the defendant was not aware of such a breach. The court further found that the defendant's employment with the employer ceased on 18 November 1989, and that the loans were repayable by the defendant to the employer. The court ordered the plaintiff to pay the defendant's costs of the action.