1) Happy Sdn. Bhd. is a private limited company incorporated in October 2016. Its directors are Carol and Daniel. The objects clause of the company provides that the company "specialises in selling and delivering of flower and other services related thereto". After incorporation, the Board of Directors decided to venture into (real estate) property investment
Required: The decision of the Board of Directors to expand the company's business into (real estate) property investment.
2) In October 2015, prior to its incorporation, Ali whom is the company's promoter have ordered corporate gifts from Gift Services Sdn. Bhd. to celebrate Happy Sdn. Bhd.'s grand opening. During Happy Sdn. Bhd.'s general meeting in May 2016, Carol and Daniel declined to ratify the contract with Gift Services.
Required: The status of the contract entered into by Ali prior to the incorporation of Happy Sdn. Bhd.