Generally a court will interfere with a business decision if that business decision causes a loss to the corporation.

Question

Quizplus · Accepted Answer

Courts typically do not interfere with business decisions unless there is evidence of fraud, illegality, or a breach of fiduciary duty. The business judgment rule protects directors and officers from liability for decisions that result in loss if they acted in good faith and with reasonable care.

Generally a Court Will Interfere with a Business Decision If