There are different types of conflicts identified by this particular Act. Potential or actual conflicts might take place in the following cases as well if (Gower 2009):
• A property is owned by the director adjacent to the property of company or otherwise of some value towards the company that may influence, or be influenced by, the activities of company
• The director has some kind of advisory bond or relationship with the company or possesses some kind of interest in this type of advisory company
• The director is the trustee or administrator of pension scheme of the company or a director of the trust or this type of a firm
• The director is in the position of taking up an opportunity that is being or has been provided to the company. This situation is to be considered even if the company has refused it or possesses the position of making a profit due to her or his dictatorship
• The director is provided a role by a bidder or a potential bidder of the company
However, even though it has not been expressed in section 175 of the Act that any infringement will occur in case if the director is not aware of the situation or event of conflict. Also, this situation will be dependent upon different facts in accordance with the case. In case a director possesses a diversified portfolio, it cannot be considered necessary that the director will be monitoring the investments that the mutual funds hold (Kraakman & Hansmann 2014). This is in the case when mutual fund in which the director has been investing or invests is being checked if any kind of this investment is giving rise to a situation or event of conflict in a theoretical manner. However, the director should be keeping a review regarding any kind of investment that might result in giving rise to issues if compromise is being made on his or her judgement. In adequate and appropriate cases, authorization should be approached by the director.