John,the Controlling Shareholder of a Large National Company,elected Allan,Edward,and Mary

question 20

Multiple Choice

John,the controlling shareholder of a large national company,elected Allan,Edward,and Mary as its directors.John has just heard of a venture that may or may not be beneficial to the company,but using his power as controlling shareholder,wants to go ahead with it and tells the three directors to approve it,which they do.It then turns out that the venture does more harm than good to the company.In this case

• A)John owes no fiduciary duty to the corporation.
• B)John owes no duty to account to the corporation.
• C)John owes no duty to the corporation.
• D)John owes no duty of care to the corporation.
• E)all of the above

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Definitions:

Local Union Officials

Elected or appointed leaders within a smaller, local section of a labor union, responsible for representing and advocating for members' interests.

Appointed Trustee

A person designated to manage the assets, operations, or responsibilities of a trust or organization on behalf of its beneficiaries or stakeholders.

Congressional Investigating Committee

A committee formed by the legislative branch, particularly Congress, to investigate and report on matters of public concern.

Bribery

The act of offering, giving, receiving, or soliciting something of value to influence the action of an official or other person in a position of authority.