A contract between the corporation and one of its directors may be voidable if it is unfair to the corporation.

Question

Quizplus · Accepted Answer

According to the doctrine of corporate opportunity, a director must put the interests of the corporation ahead of their own personal interests. If a contract between the corporation and one of its directors is found to be unfair or a breach of the director's fiduciary duty, it may be voidable at the discretion of the corporation or its shareholders.

A Contract Between the Corporation and One of Its Directors