What Term Is Used to Indicate That the Body Created

question 41

Multiple Choice

What term is used to indicate that the body created its own immunity?

• A) Passive
• B) Active
• C) Natural
• D) Artificial

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Definitions:

Derivative Suit

A lawsuit brought by a shareholder on behalf of a corporation against a third party, often an insider of the corporation, alleging harm to the corporation.

Disinterested Directors

Board members who do not have a personal or financial stake in the decisions being made, ensuring unbiased governance and compliance.

Quorum

The least number of attendees required for a meeting's activities to be considered valid.

Proper Purpose

Acting with a legitimate objective, especially in the context of corporate governance where actions should align with the best interests of the company and its shareholders.