Manfred is the director of Superior Office Inc., a corporation that owns and manages a commercial office
Question:
Manfred is the director of Superior Office Inc., a corporation that owns and manages a commercial office building.
The board of directors of Superior Office Inc. is searching for a new company to provide restaurant services in the cafeteria of the office building. Manfred tells the board about a food services company called Master Chef Food Services Ltd. ("Master Chef") that would provide the services they are seeking. Manfred does not tell the board that he owns 50% of the shares in Master Chef.
At the last directors' meeting for Superior Office Inc., Manfred and his fellow directors voted to approve a lucrative food services contract with Master Chef.
Did Manfred breach any of his duties as a director of Superior Office Inc.? Explain your answer identifying the specific requirements under the OBCA.
Managerial Economics and Strategy
ISBN: 978-0321566447
1st edition
Authors: Jeffrey M. Perloff, James A. Brander