Which of the Following Is False Regarding Corporate Decisions That

question 65

Multiple Choice

Which of the following is false regarding corporate decisions that might personally benefit a particular director or officer?

• A) There must be full disclosure of the interest by a director who might personally benefit from a corporate decision.
• B) There must be full disclosure of the interest by an officer who might personally benefit from a corporate decision.
• C) The director to benefit may vote on the issue although a majority of all directors must approve the transaction.
• D) The duty to disclose an interest that might personally benefit a director is a fiduciary duty.
• E) The duty to disclose an interest that might personally benefit an officer is a fiduciary duty.

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Definitions:

Presbyterian Hospital

A healthcare institution affiliated with the Presbyterian denomination or potentially part of a network named for its historical religious affiliation.

Mistrust

Lack of trust or confidence in someone or something.

Conflict Defusing

Strategies or actions taken to reduce tensions, misunderstandings, or hostilities in a situation to prevent escalation.

Third-Party Involvement

The involvement of an external party in negotiations or conflict resolution who is not directly involved in the dispute.