Assignment task:
Sir John Feingold is Head of Operations for Do-it-Right Pty Ltd (DiR). Sir John has been working for DiR for over 40 years. During this time, he has developed very strong relationships with the Board and its majority shareholders. On the day of his 75th birthday, the CEO of DiR, Cate Smith, suggests that Sir John "cement his valuable position in DiR by constitutional implementation". Buoyed with self-confidence by this recommendation, Sir John drafts a proposed amendment to the DiR constitution that reads; "Sir John Feingold is to remain Head of Operations at DiR Pty Ltd for as many years as he is fit and willing to fulfil this role." The majority shareholders approve of this amendment.
A few years later, DiR has a complete change of ownership and management when the majority shareholders sell out to MYOC Ltd. The new shareholders from MYOC Ltd think Sir John is "past it" and demand John's immediate retrenchment.
Sir John Feingold wants to continue with DiR and claims the company's constitution safeguards his job.
Question 1: Answer A and B below
A. Identify which section of the Corporations Act 2001 (Cth) gives members the power to amend the constitution. Outline the procedure for amendment of the constitution per the Act.
B. Can Sir John Feingold rely on the constitution of DiR to safeguard his job? Make sure you refer to the relevant section/s in the Corporations Act 2001 (Cth) and any case law in your answer.