Business Judgment Rule

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In American business law, the concept granting members of the board of directors of a corporation the presumption that they intend to work for the company's profitability, provided they act in good faith. That is, courts assume boards of directors think they are doing the right thing even if an act harms the company in retrospect. This protects members from shareholder lawsuits in the event their actions do not go as planned. On the other hand, if a board of directors is found to have squandered the company's resources by, for example, grossly overpaying when buying or receiving far too little when selling assets, it may still be found legally liable.

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No references found			To be eligible for the services cost method, a service must be a covered service as defined in the regulations, the service cannot be an excluded activity, the service cannot be precluded from constituting a covered service by reason of the business judgment rule, and adequate books and records must be maintained with respect to the service. Final regs. on treatment of controlled services transactions under ... by Nevius, Alistair M. / The Tax Adviser 22) Business Judgment Rule Directors are protected against lawsuits asserting deficient conduct by the business judgment rule. Directors' fiduciary duties: increasing focus on good faith and ... by Davis, Gardner; Whitley, Danielle / Florida Bar Journal In considering any significant acquisition proposal, directors must comply with the minimum legal duties under the business judgment rule and conscientious directors should do much more. The role of directors in acquisitions: directors should do more than ... by Lipman, Frederick D. / Directors & Boards			Business Crime Insurance Business Cycle Business Cycle Indicators Business Date business day Business Development Bank of Canada Business Enterprise Business Environment Risk Index Business Etiquette Business Executive Enforcement Team Business Expansion Scheme Business Expense Business Expense Deduction Business Facilitation Office Business Failure Business Fundamentals Business Gift Business Gifts Business Income Business Incubator Business Information Office Business Information Service for the Newly Independent States Business Intelligence Business Interruption business interruption insurance Business Judgment Rule Business Liability Insurance Business List Business Model Business Office Business Overhead Expense Insurance business park Business Plan Business Practice Business Process Business Process Management Business Process Reengineering Business Property Business Property and Liability Insurance Package Business Property Relief Business Publication Audit of Circulation Business Purpose Business Rate Business Reply Card Business Reply Envelope Business Reply Mail Business Risk Business Risk Exclusion Business Roundtable Business Sales and Inventories Business School			Business Interruption Policies Business Interruption Policies Business Interruption Policy Business Interruption Policy Business Interruption Protection Services Business Interruption Recovery Plan Business Interruption Unit Business Interruptions Business inventory Business inventory Business inventory Business inventory Business inventory Business Inventory Management System Business Investment Board Business Investment Fund Business Investment Management Game Business invitee Business invitee Business Irrevocable Life Insurance Trust Business is business Business IT Alignment Business IT Service Management Limited Business Japanese Online Business Jet Aircraft Completions, Inc. Business Jet Seats Incorporated Business Jet Traveler Business Journals, Inc. Business Judgement Rule Business Judgement Rule Business Judgment Rule Business Keeper Monitoring System Business Know-How Business Knowledge Management Business Laureates of British Columbia Business law Business law Business law Business law Business Law for European Programme 1 Business Law Forum Business Law Journal Business Law Section Business Law Today business leader Business Leaders Confidence Index Business Leaders for Sensible Priorities Business Leaders for Sensible Priorities/True Majority Business Leaders Forum Business Leaders Initiative on Climate Change Business Leaders Initiative on Human Rights Business Leaders Network Business Leaders of Tomorrow Business Leadership Center Business Leadership Certificate Program Business Leadership Development Business Leadership Forum Business Leadership Network

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