business laws inc
business law question..please help..?
2.Smith has been asked to be a member of Shoes-N-More, Inc.’s Board of Directors. He is concerned about potential personal liability for his actions as a director. Discuss the ways in which Smith can protect himself against personal liability.
I just dont understand it..how can he protect himself against personal liability ? please help me…!
He may be personally liable for causing harm to the company, among others. He can protect himself by certain indemnification/insurance policies or by making sure that his contract with the company excludes him from any actions (though such a clause may be viewed as unenforceable).
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