Meredith,a shareholder in Quarto,Inc.,notified Quarto's board of directors that the corporation had been wronged and asked the board to bring a lawsuit in the corporation's name.In response to Meredith's demand,the board
A)can file suit on behalf of the corporation.
B)can reject Meredith's demand or simply fail to respond.
C)can appoint a Special Litigation Committee.
D)can do any of the above.

Question

Quizplus · Accepted Answer

The board of directors has the discretion to take any of the actions listed: file a suit, reject the demand, fail to respond, or appoint a Special Litigation Committee.

Meredith,a Shareholder in Quarto,Inc