When Attack made an offer to acquire the stock of Target, the Target board welcomed the offer. Not so when Francis Co. also indicated an interest in Target. In its negotiations with Francis, the Target board of directors failed to reveal that Microsoft had offered to pay $450 million for Target’s patent portfolio. Francis made an offer that was slightly lower than Attack’s. Which of the following statements is true?
(a) The Target board has the right to sell the company to whomever it wants.
(b) The Target board must appoint a special committee of disinterested directors to assess both offers.
(c) The Target board has no obligation to Francis because its offer was lower than Attack’s.
(d) The Target board had an obligation to tell Francis about the Microsoft offer because, if Francis had known, it might have made a higher offer.