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Melli Is the President of Iritech Inc,a Grocery Supplier

Question 7

Multiple Choice

Melli is the president of Iritech Inc,a grocery supplier.On behalf of Iritech,Melli has been negotiating with Teran Food Stores Ltd for two years for Teran to commit to making Iritech its exclusive supplier.Getting the contract would put Iritech's business on a much firmer financial footing.Melli has recently become frustrated with Iritech and is interested in leaving to form her own grocery supply business.The Teran contract would give her a great start and she thinks that Teran has been sufficiently impressed by her that she would have a chance to get the contract for herself.Which of the following factors would NOT support the conclusion that it would be a breach of her fiduciary duty for her to quit and seek the Teran contract for herself?


A) This is a specific opportunity that the corporation has been actively pursuing.
B) The corporation had done extensive work preparing for the opportunity.
C) This is a significant opportunity for the corporation.
D) Melli had access to the opportunity because of her position with the corporation.
E) The contract is profitable,and if Tritech can restrict Melli from obtaining the contract,this is an impermissible restraint of trade.

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