Guy is a director of Healthcare Corporation. Guy attempts to use his best judgment in guiding corporate management but makes a few honest mistakes. He may be protected from liability for these mistakes by
A) business success insurance.
B) the business judgment rule.
C) the duty of loyalty.
D) duty of disclosure.

Question

Quizplus · Accepted Answer

The business judgment rule protects directors from liability for honest mistakes made in good faith while making business decisions.

Guy Is a Director of Healthcare Corporation