kaal:claim:2317580-002

The liability standard for breach of fiduciary duty is set so high that courts rarely find directors in violation, because only a board's sustained or systematic failure to exercise oversight can produce liability.

Source quote, verbatim

The standard for liability is so high that it is hard for courts to find directors in violation of their fiduciary duties.2 Only a board's sustained or systematic failure to exercise oversight can result in liability.

From

Wulf A. Kaal, Elizabeth R. Malay, The Role of Corporate Integrity Agreements in the Expansion of Fiduciary Duties (2013), I. Introduction, p. 5
https://ssrn.com/abstract=2317580 · source PDF

Cite as

Wulf A. Kaal, Elizabeth R. Malay, The Role of Corporate Integrity Agreements in the Expansion of Fiduciary Duties (2013). SSRN: https://ssrn.com/abstract=2317580

Holds when

director oversight liability under Caremark and its progeny

Classification

failuresupport: evidencedfailure: unreachable oversight liability thresholdfamily: enforcement-gapcorporate-governancelaw-and-legal-systemscompliance

Verify

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Attestation record: colloquium/attestations/78a4434bc6cd1446...json
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