Identify the Elements That the Court Has Recommended Be Examined

question 36

Essay

Identify the elements that the court has recommended be examined in order to determine whether the appropriation of a corporate opportunity by a director or officer is a breach of fiduciary duty.

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Definitions:

Indirect Method

A technique used in financial reporting to convert net income into net cash flow from operating activities, by adjusting for non-cash transactions.

Investment Bankers

Financial professionals who assist corporations and governments in raising capital by underwriting and issuing securities and advising on mergers and acquisitions.

Financial Intermediation

The process by which financial institutions act as intermediaries between lenders and borrowers.

Institutional Investor

A business organization that buys and sells securities. Generally, a fund of some kind such as a mutual fund or a pension fund that invests the pooled money of its clients.