In response to Jude and Rostan's plan, can the corporation issue statements to its shareholders to educate them on the disadvantages of a takeover?
A) No, a corporation is prohibited from making these types of statements during a takeover.
B) No, unless the statement also educates shareholders on the advantages of a takeover.
C) Yes, as long as corporate funds are not used and the statement also educates shareholders on the advantages of a takeover.
D) Yes, as long as corporate funds are not used.
E) Yes, and corporate funds may be used for this purpose.

Question

Quizplus · Accepted Answer

Corporations can issue statements to their shareholders to educate them on the disadvantages of a takeover, and they are allowed to use corporate funds for this purpose. This is part of their fiduciary duties to inform and protect the interests of their shareholders.

In Response to Jude and Rostan's Plan, Can the Corporation