Issuing favorably priced shares to management but not to other shareholders will normally constitute a violation of the fiduciary duty.

Name: Issuing favorably priced shares to management but not to other shareholders will normally constitute a violation of the fiduciary duty.
Brand: Quizplus
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Question

Issuing favorably priced shares to management but not to other shareholders will normally  constitute a violation of the fiduciary duty.

Quizplus · Accepted Answer

This practice can be seen as self-dealing and not acting in the best interest of all shareholders, thus violating the fiduciary duty to treat all shareholders fairly.

Issuing Favorably Priced Shares to Management but Not to Other