Duty of Care
Business Judgement Rule
$4.00
Part 1
Explain the requirements of the Duty of Care, the Duty of Loyalty, and the Business Judgment rule. Who or what are these duties designed to protect? Are these duties necessary? Why or why not?
Part 2
A longtime friend and client approaches you and explains that he has the opportunity to purchase a company that has developed a very lucrative technology. Unfortunately, the company has had some legal issues with clients and vendors in the past. Your friend assures you that, going forward, he can resolve the problems that have led to the legal issues, but he does not want to be held liable for the company’s past failings. Your friend