The business judgement rule is designed to protect

Question

Quizplus · Accepted Answer

The business judgement rule is a legal principle that protects both the managerial decision and the manager, as long as the decision is made in good faith and in the best interest of the company. This rule assumes that a manager acts in good faith, with reasonable care, and with the belief that the actions taken are in the best interest of the company. It protects managers from personal liability for decisions that result in financial loss or harm to the company, as long as the decision was made in good faith, and with reasonable care.

The Business Judgement Rule Is Designed to Protect