Which of the following policies helps a corporate officer from being sued for honest mistakes made on behalf of a corporation?

Question

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The business judgment rule is a legal principle that provides protection to corporate officers when they make decisions on behalf of the corporation. It states that as long as the officers acted in good faith, exercised reasonable care, and made informed decisions, they are protected from liability for honest mistakes. The duty of loyalty requires corporate officers to act in the best interest of the corporation and not use their position for personal gain. The duty of obedience requires officers to act within the scope of their authority and comply with laws and regulations. Self-dealing refers to situations where a corporate officer uses their position for personal gain, which is prohibited. Thus, the correct option is C).

Which of the Following Policies Helps a Corporate Officer from Being