Business Judgment Rule

Benedict Sheehy

doi:10.1007/978-3-031-25984-5_107

Business Judgment Rule

Benedict Sheehy

Canberra Law School

Research output: A Conference proceeding or a Chapter in Book › Entry for encyclopedia/dictionary › peer-review

Abstract

The business judgment rule is a rule in corporate law which provides directors of a business corporation a defense in lawsuits where corporate decisions have been challenged in the courts. The rule provides a defense where directors can demonstrate that they have acted in good faith. The rule is based on the general corporate law principle that the courts will not impose liability where a corporate decision has had negative consequences for the company provided that the directors have acted in the best interests of the company when taking those decisions (Arsht 1979; Sheehy and Feaver 2014).

Original language	English
Title of host publication	Encyclopedia of Sustainable Management
Editors	Samuel Idowu, René Schmidpeter, Nicholas Capaldi, Liangrong Zu, Mara Del Baldo, Rute Abreu
Publisher	Springer
Pages	1-4
Number of pages	4
ISBN (Electronic)	9783031259845
ISBN (Print)	9783031259838
DOIs	https://doi.org/10.1007/978-3-031-25984-5_107
Publication status	Published - 2023

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

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10.1007/978-3-031-25984-5_107

https://link.springer.com/referenceworkentry/10.1007/978-3-030-02006-4_107-1

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A2 - Abreu, Rute

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ER -

Business Judgment Rule

Abstract

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