Read this:

"The U.S business judgment rule is a rule where courts do not hold corporate officers and directors liable for honest mistakes and bad business decisions that were made in good faith. All business decisions are risky, but if there is proof that the corporate officers and directors investigated, studied, and discussed all matters before making the business decision, they will not be held liable.

In Germany, the business judgment rule is called "Regel der geschftlichen Beurteiling," which translates to the rule of the business judgment, so basically the exact same. The rule was adopted in 1997 and was made based on the U.S business judgment rule. The rule is the same as in the U.S. The members of the management boards or directors are given room to make business decisions in the best interest of a company. As long as the decision is thought out well and enough consideration and studying are done, they are not being held liable for honest mistakes. In Germany, the burden of proof in liability falls on the plaintiff; the plaintiff has to prove that damage has occurred based on the conduct of the corporate officer or director. The defendant has to demonstrate and prove that he or she did not breach his duties with negligence or fault.

I agree with the U.S. business judgment rule as long as the investigation shows that the corporate officers and directors fulfilled their duty of care and loyalty. The people making the business decisions are the ones that are in the middle of it, they know the company, the customers, and the employees. The decision-makers are doing the best for the company, and sometimes mistakes happen. People should not be punished and held liable for honest errors.

The judgment rule of the U.S and Germany is very similar, as Germany based their law on U.S. law. Business transactions in the U.S. and Germany are very similar and how corporations are structured and handled. The rule applied for works very well for both countries since both corporation business sides are very similar.

If I could change the U.S. rule, I would add that business decision-makers have to take a course to familiarize them with liability issues that could occur. I think every business leader must know the basic rules and laws and their rights. Other than that, I would not change the business judgment law as it works and protects business leaders, and gives them room to make the best decisions for their companies."

after reading this, what's your opinion on this?

- please go into detail, preferably more than a paragraph

- use your own words to help me understand why

-cite sources if needed (to look up later)

- paragraph form (no bullet points or lists)