A majority shareholder does not owe a fiduciary duty to minority shareholders under any circumstances.

Question

Quizplus · Accepted Answer

Majority shareholders do owe a fiduciary duty to minority shareholders, as they have a responsibility to act in the best interests of the company and all shareholders, not only their own interests. This duty includes ensuring fair and equal treatment, disclosure of information, and avoiding conflicts of interest. Failure to fulfill this duty can result in legal action and potential liability for the majority shareholder.

A Majority Shareholder Does Not Owe a Fiduciary Duty to Minority