Asked by christopher Neville on Jun 27, 2024
Verified
Is Allison correct that officers cannot be held criminally responsible for actions they take on behalf of a corporation?
A) Yes, she is correct.
B) She is correct only so long as the corporation is solvent.
C) She is correct only if the board of directors has accepted all liability for acts of officers.
D) She is correct only if environmental or employment matters are involved.
E) She is incorrect.
Cumulative Voting
A voting system in corporate elections that allows shareholders to concentrate all their votes on one candidate for the board of directors.
Illegal Dumping
The improper disposal of waste at a non-approved location.
- Study the tasks, responsibilities, and accountability of corporate officers and directors towards shareholders and the company.
Verified Answer
EP
Eduardo PalmaJun 28, 2024
Final Answer :
E
Explanation :
Officers can indeed be held criminally responsible for actions they take on behalf of a corporation, especially if those actions are illegal, such as destroying documents subpoenaed in a criminal investigation. Corporate officers cannot shield themselves from criminal liability simply by acting within their corporate roles.
Learning Objectives
- Study the tasks, responsibilities, and accountability of corporate officers and directors towards shareholders and the company.
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