Question
In order to exercise the minimum standard of care required to comply with their duty of care and diligence, directors and officers must, among other
In order to exercise the minimum standard of care required to comply with their duty of care and diligence, directors and officers must, among other things:
a. Acquire a basic understanding of the business and be familiar with the fundamentals of the business.
b. Make sufficient enquires to inform business decisions.
c. Stay informed about the activities of the company.
d. Not ignore any misconduct of the company.
e. Be familiar with the financial status of the company by reviewing financial statements.
f. None of the above (ie none of (a)-(e) are correct) - these things all relate to the fiduciary duties, not the standard of care
g. All of the above (ie all of (a)-(e) are correct)
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