MegaValue Corporation requires a quorum of five directors.If Branson, a director, shows up at the meeting for a vote on his favorite topic (dividends) and withdraws thereafter, leaving only four directors, they, under the Revised Act, may not act on any further business.

Question

Quizplus · Accepted Answer

Under the Revised Act, if a quorum is not present, the remaining directors cannot act on any further business. Since Branson's departure leaves only four directors, they do not meet the quorum requirement of five directors, and therefore cannot proceed with any further business.

MegaValue Corporation Requires a Quorum of Five Directors