[Self-Centered President] Allison Is President of "We Manage You," a Corporation

[Self-Centered President] Allison is president of "We Manage You," a corporation set up to manage physician practices. Allison has never been very concerned with minority shareholders because she believes that they have little influence over the company since they cannot even elect a director. She is told, however, that her state just instituted the practice of cumulative voting. An election is coming up in which 10 directors will be elected. Minority shareholders own 2,000 shares, while majority shareholders own 8,000 shares. Allison tells her vice president, Marco, that she wants to ignore minority shareholders and focus her interests on majority shareholders and the directors. She also tells Marco that she wants to be particularly conscientious toward directors because the directors appoint officers, and she does not believe that she owes any actual duties to shareholders. She further orders Marco to destroy some documents subpoenaed in a criminal investigation against the company for illegal dumping. When Marco protests, Allison tells him not to worry because officers cannot be held responsible for criminal actions so long as the actions are done as part of the duties of an officer. She explains to him that only the corporation can be charged with liability in such cases.
-Is Allison correct that she owes no duties to shareholders?

A) Yes, she is correct because it is the directors who owe duties to shareholders.
B) No, she is incorrect because she owes a duty of care to shareholders although she owes no other duties.
C) No, she is incorrect because she owes a duty of loyalty to shareholders although she owes no other duties.
D) No, she is incorrect because she owes both a duty of care and a duty of loyalty to shareholders.
E) She is partially correct. She owes both a duty of care and a duty of loyalty to minority shareholders, but no duties to majority shareholders because the law assumes that they have the power to protect their own interests.