Which of the following policies prevents a corporate officer from being sued for honest mistakes made on behalf of a corporation?

Question

Quizplus · Accepted Answer

The business judgment rule is a policy that provides protection to corporate officers and directors from being held liable for honest mistakes made while acting in good faith and with reasonable care. It recognizes that decisions made by officers and directors are often complex and involve uncertainties, and therefore grants them immunity from personal liability for any losses that result from such decisions.

Which of the Following Policies Prevents a Corporate Officer from Being