Examlex
Which is an example of rationalization?
Illegal Dividends
Dividends distributed by a company despite it not having sufficient profits or legally available capital, violating corporate law or its own articles of incorporation.
Shareholder's Derivative Suit
A legal action brought by shareholders on behalf of a corporation to enforce or defend its rights when the corporation's management fails to do so.
Black Market
An illegal trade of goods or services that violates governmental regulations, often to avoid taxes or because the goods are prohibited.
Duty of Loyalty
The legal obligation of fiduciaries to act in the best interests of their beneficiaries or the entity they serve.
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