What is an exculpatory clause?
A) a requirement that the company pay the legal fees of directors who are sued for actions taken on behalf of the company
B) a provision that if a party enters into a contract believing in good faith that the corporation exists,he cannot later take advantage of the fact that it does not
C) a requirement that a corporation cannot undertake any transaction unless the charter permits it
D) a provision that protects directors from personal liability to the corporation and its shareholders
Correct Answer:
Verified
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