Genna is a director of Fab Stuff Corporation. Without informing Fab, Genna starts up Evertrendy, Inc., to compete with Fab. Genna is liable for breach of

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04-05-2022
Business

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Genna is a director of Fab Stuff Corporation. Without informing Fab, Genna starts up Evertrendy, Inc., to compete with Fab. Genna is liable for breach of

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gauravsingh23VT gauravsingh23VT · Answer 1 · 2022-05-16T12:10:58+02:00

Genna is liable for breach of the duty of loyalty as Without informing Fab, Genna starts up Evertrendy, Inc., to compete with Fab.

What is the meaning of duty of loyalty?

The duty of loyalty represents the principle that directors and officers of a corporation must act without personal economic conflict.

When making decisions in their capacities as corporate fiduciaries.One of the two primary fiduciary duties that a company's directors must fulfill is the duty of loyalty.

Thus, it is a duty of loyalty.

For more details about duty of loyalty, click here:

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