Which of the Following Was the Result on Appeal in the Case

question 25

Multiple Choice

Which of the following was the result on appeal in the Case Opener,the case in which a majority shareholder voted to award a bonus to her son,the president of the company,over the objection of minority shareholders?

• A) That in awarding the bonus, the majority shareholder violated the duty of loyalty she owed to the company.
• B) That in awarding the bonus, the majority shareholder violated the duty of care she owed to the company.
• C) That in awarding the bonus, the majority shareholder violated the business judgment rule.
• D) That the majority shareholder was guilty of no violation in awarding the bonus.
• E) That the majority shareholder's vote to award the bonus would be upheld only if she submitted additional proof that the bonus was deserved.

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Definitions:

National Union Federations

Umbrella organizations that represent various labor unions from specific sectors or industries at the national level.

European Union

A political and economic union of 27 European countries that are tied by a single market which allows for the free movement of goods, capital, services, and labor.

NAFTA

The North American Free Trade Agreement, a treaty entered into by the United States, Canada, and Mexico to eliminate trade barriers and facilitate cross-border movement of goods and services.

Free Capital Mobility

The unrestricted movement of financial capital and investment across borders, allowing for the global allocation of resources and investments.