In what way are a duty of competence and a fiduciary duty similar?
A) Both are obligations owed to a corporation's creditors.
B) Both are strict liability obligations owed to external stakeholders.
C) Directors are relieved from them by delegating authority to officers.
D) Neither is an obligation owed by a director that can be delegated.

Question

Quizplus · Accepted Answer

Both a duty of competence and a fiduciary duty are obligations that directors owe to the corporation and cannot be delegated to others. Directors must exercise their own judgment and act in the best interest of the corporation.

In What Way Are a Duty of Competence and a Fiduciary