Managers hired to run a corporation owe it a duty of care and loyalty.

Question

Quizplus · Accepted Answer

This statement is true. Managers who are hired to run a corporation owe a duty of care and loyalty to the corporation and its shareholders. This means that they must act in the best interests of the corporation and its shareholders, and must exercise due care and diligence in their decision-making and actions. Failure to fulfill these duties can result in legal action against the managers.

Managers Hired to Run a Corporation Owe It a Duty