The Model Business Corporation Act (MBCA) requires that a director or officer discharge his duties with such care as an ordinarily prudent person in a like position would use under similar circumstances.

Question

Quizplus · Accepted Answer

This is a correct statement according to the Model Business Corporation Act. The MBCA sets standards for the conduct of directors and officers of a corporation, including the duty of care. Directors and officers are required to act in the best interests of the corporation and exercise the same level of care that an ordinarily prudent person in a similar position would use.

The Model Business Corporation Act (MBCA) Requires That a Director