Traditionally,a transaction benefiting a director's self interest is __________ unless the director could show it was fair and reasonable to the corporation.
A) void
B) voidable
C) illegal
D) All of these are correct.

Question

Quizplus · Accepted Answer

A transaction benefiting a director's self interest is considered voidable, meaning it can be challenged or overturned by the corporation or other shareholders, unless the director can demonstrate that the transaction was fair and reasonable to the corporation. It is not necessarily illegal or automatically void, but it is subject to scrutiny to ensure that the director is not unfairly profiting at the expense of the corporation.

Traditionally,a Transaction Benefiting a Director's Self Interest Is __________ Unless