assigment
What is a closely held business?
When a business has very limited number of shareholders then this is called closely held business. This thing usually exists in family businesses. Their shares are publicly traded on occasion but very rare.
To whom does a director owe a fiduciary duty?
Directors owe a fiduciary duty to corporation, as such; directors must ensure the corporation’s interests always priorities. It is the fiduciary duty of the director to act honestly and in good faith, with a view to the best interests of the corporation
Provide two examples of a breach of a director’s fiduciary duty.
If directors put their interest in corporation more than the best interest toward corporation then there is breach of duty. And if there and any dishonesty involve in decision making then that is breach of the fiduciary duties
What is the oppression remedy?
An oppression remedy is a statutory right available to shareholders where the controllers of a company unfairly misuse their positions of power or breach their duties.
What is a derivative action?
Derivative action is an legal action of share holder against director or management of corporation on their dishonesty toward the all stakeholders.
Part B
If Robert and Jennifer enter into a partnership, to what extent can he achieve his goals? Explain.
If Robert want to enter contribute into the business as a partner his money will be able to get equal portion of share and he will have an active role in management of the business but if business suffers any loss he will also be liable for loss in worst case he can lose his money.
How could Robert become a limited partner? How would this affect his goals? What would be his legal rights and obligations?
Jennifer and Roberts can register their business with government to become a limted partnership. If Robert put his money into the business then he will become partner. Good thing about this partnership is the liabilities are limited for the partner in
When a business has very limited number of shareholders then this is called closely held business. This thing usually exists in family businesses. Their shares are publicly traded on occasion but very rare.
To whom does a director owe a fiduciary duty?
Directors owe a fiduciary duty to corporation, as such; directors must ensure the corporation’s interests always priorities. It is the fiduciary duty of the director to act honestly and in good faith, with a view to the best interests of the corporation
Provide two examples of a breach of a director’s fiduciary duty.
If directors put their interest in corporation more than the best interest toward corporation then there is breach of duty. And if there and any dishonesty involve in decision making then that is breach of the fiduciary duties
What is the oppression remedy?
An oppression remedy is a statutory right available to shareholders where the controllers of a company unfairly misuse their positions of power or breach their duties.
What is a derivative action?
Derivative action is an legal action of share holder against director or management of corporation on their dishonesty toward the all stakeholders.
Part B
If Robert and Jennifer enter into a partnership, to what extent can he achieve his goals? Explain.
If Robert want to enter contribute into the business as a partner his money will be able to get equal portion of share and he will have an active role in management of the business but if business suffers any loss he will also be liable for loss in worst case he can lose his money.
How could Robert become a limited partner? How would this affect his goals? What would be his legal rights and obligations?
Jennifer and Roberts can register their business with government to become a limted partnership. If Robert put his money into the business then he will become partner. Good thing about this partnership is the liabilities are limited for the partner in