Re-examining the law and economics of the business judgment rule: Notes for its implementation in non-US jurisdictions

• المؤلف الرئيسي: GURREA-MARTINEZ, Aurelio
• التنسيق: text
• اللغة: English
• منشور في: Institutional Knowledge at Singapore Management University 2018
• الموضوعات: business judgment rule; corporate directors; duty of care; liability; risk aversion; firm value; enforcement; business; courts; diversification; Business Organizations Law; Law and Economics
• الوصول للمادة أونلاين: https://ink.library.smu.edu.sg/sol_research/2969; https://ink.library.smu.edu.sg/context/sol_research/article/4927/viewcontent/Re_examining_the_law_and_economics_of_the_business_judgment_rule_notes_for_its_implementation_in_non_US_jurisdictions.pdf

The business judgment rule, as it has been traditionally understood, seems to be based on three underlying assumptions that make this rule economically desirable. First, directors are subject to a credible threat of being sued for a breach of the duty of care. Second, the primary role of the corpora...