LGLS 1901 Lecture Notes - Lecture 22: Income Tax In The United States, Respondeat Superior, Retained Earnings

33 views8 pages

Document Summary

Allowed faulty products to be released (think vw lawsuit against directors who allowed the scandal to happen); the corporation pays for the individual director"s damages. Corporate officers and executive: officers serve at the pleasure of the board but have fiduciary duties to company as well, employment relationships are generally governed by contract law and employment law. Duties and liabilities: directors and officers are fiduciaries and owe the company ethical and legal duties. Duty of care: duty to make informed decisions. Fully informed on corporate matters: duty to exercise reasonable supervision. Xii: personally liable for crimes and torts committed and for those committed by employees under their supervision, shareholder derivative suits where shareholder(s) sue directors on behalf of corporation. Acquisition of shares grants an equitable ownership interest in a corporation. Shareholders generally have no right to manage the daily affairs of the corporation, but do so indirectly by electing directors. Controlling shareholders owe a fiduciary duty to minority shareholders.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related Documents