Ernie is a director of Five-Star Properties, Inc. Ernie is a property appraiser. Five-Star makes several purchases in which it pays too much. Ernie approves all the transactions without evaluating them. He is most likely liable for breach of

Question

Ernie is a director of Five-Star Properties, Inc. Ernie is a property appraiser. Five-Star makes several purchases in which it pays too much. Ernie approves all the transactions without evaluating them. He is most likely liable for breach of​

Quizplus · Accepted Answer

Ernie has breached the duty of care as a director by failing to evaluate the transactions properly. As a property appraiser, he had a special duty to use his expertise in evaluating the purchases made by Five-Star Properties, Inc.

Ernie Is a Director of Five-Star Properties, Inc