The Decision to Sell
Learn about the standards a board’s directors are held to and how courts determine whether the board has breached their duties when deciding to sell the company.
Transcript
Boards of directors are responsible for making strategic decisions that shape the future of the companies they serve. One of the most critical decisions in a company’s life cycle is the decision to sell or merge.
I. Standards of Conduct
Fundamentally, directors are held to certain standards of conduct based on the fiduciary duties they owe to the companies they serve. Directors must act in good faith and in the company’s best interests. They shouldn’t use their position for personal gain at the...