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Fiduciary responsibility is considered to be breached when the officers of the corporation place the assets of the corporation at risk by violating the law; is
by BrentRitterbeck 17y ago
Fiduciary responsibility is considered to be breached when the officers of the corporation place the assets of the corporation at risk by violating the law; is that not so?
The problem with the term "fiduciary responsibility" is that it is a vague term that is ever changing. You don't have to violate the law to breach a fiduciary responsibility. With that said, the extent to which you are responsible for some financial matter is usually determined by the lawyer suing you and the judge overseeing your case.
- olefoo 17y agoI am fully cognizant that fiduciary responsibility is a guiding principle and not rote procedure, the point I am attempting to elucidate for those who throw the term around so freely here. Is that fiduciary responsibility is not a substitute for moral judgment, and too narrow a construal of it leads inevitably to a place where a strict by the numbers construction of what fiduciary responsibility is demands that you take actions that are so wrong that your company should be dissolved since it is actively harmful to society.