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Section 33. Disloyalty of a Director - Revised Corporation Code

Section 33. Disloyalty of a Director of Revised Corporation Code. Section 33. Disloyalty of a Director. - Where a director, by virtue of such office, acquires a business opportunity which should belong to the co

  • Subjects 9 Bar syllabus groups
  • Codals 48 Primary legal sources

Revised Corporation Code

Section 33. Disloyalty of a Director. - Where a director, by virtue of such office, acquires a business opportunity which should belong to the corporation, thereby obtaining profits to the prejudice of such corporation, the director must account for and refund to the latter all such profits, unless the act has been ratified by a vote of the stockholders owning or representing at least two-thirds (2/3) of the outstanding capital stock. This provision shall be applicable, notwithstanding the fact that the director risked one's own funds in the venture.

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