Luke is a director of Motor Parts Corporation. Luke makes decisions with respect to Motor Parts in good faith, in what he believes is the firm's best interest, and without violating any duties owed to it. If, despite these circumstances, Luke exercises poor business judgment, under the business judgment rule he is

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According to the business judgment rule, as long as a director makes decisions in good faith and in the best interest of the corporation, they are immune from liability even if their decisions ultimately result in losses or harm to the corporation. Therefore, Luke would not be liable for exercising poor business judgment as long as he acted in good faith and in the best interest of the corporation.

Luke Is a Director of Motor Parts Corporation