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Discussion Forum

This week we are looking at Limited Liability Companies and Corporations. The Directors on the Board of Directors for a corporation owe significant duties to their corporation and the corporate shareholders. Their duties include a duty of loyalty, duty of care and a duty of good faith. One of the main reasons for the Sarbanes-Oxley Act was to provide a better mechanism to keep directors from breaching these duties and to catch them when they do. For this discussion forum you will need to find a recent case where a director or owner of a corporation is being sued for a breach of his duty to the corporation. Try not to use the same case any of your classmates are using. 

To find cases, try searching the following terms:  “Corporate Duty of Loyalty”,  “Corporate Duty of Care”, “Corporate Duty of Good Faith”, “Breach of duty of Care”, “Breach of Duty of Loyalty”.  Try and find something recent and interesting.

Your post organization should include the following headings 

  1. Case Heading and citation
  2. Facts: Explain what happened
  3. Issue of law: Explain what legal issue the court had to determine
  4. Decision: Explain the reasoning for what the judge decided and why
  5. Opinion: Share your opinion on the fairness or correctness of the decision

This initial post should include at least 550 words and 2 APA formatted sources and be posted by Friday at 11:55 PM Swiss time per the course schedule. You will then comment on two of your classmates’ posts in a substantive way (at least 100 words per post) by Sunday at 11:55 PM Swiss time.

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