A director or officer will be held to have failed to act with due care and diligence if he or she:

Question

Quizplus · Accepted Answer

The duty of care requires that directors and officers make a reasonable investigation before making any corporate decisions. These standards, however, take into consideration the complexities of many corporate decisions and understand that it would be impossible for any manager to personally investigate every facet of every business decision.

A Director or Officer Will Be Held to Have Failed