To: Associate Attorneys
From: David Krull
RE: Interested Director
Dear Associate Attorneys,
One of our clients is Snike, Inc. Snike’s Chairman & CEO, Betty Baus, has contacted us about a situation involving one of the Snike’s Directors of the Board, Denny Downs. Ms. Baus reports that recently Snike’s Board of Directors unanimously agreed to the process of purchasing a new manufacturing facility for producing the Company's merchandise. Shortly after this decision one of the directors – Denny Downs – purchased a facility that would meet Snike's needs.
Please read Sanders v. E-Z Park, which is located in the Week 3: Case Brief Module on Canvas. In reading Sanders v. E-Z Park, please attempt to determine whether an action by a interested director voids an action by a corporation's board of directors? If you do a good job, Snike might give us some more business!!!
For the UNDER part of your Issue Statement please write it as follows: UNDER the Duty of Loyalty, IS…, WHEN…
Once you have watched the lecture, and read Sanders v. E-Z Park, please write a one-page Case Brief on Sanders v. E-Z Park, following the Directions and Grading Rubric below.
This assignment is worth 20 points toward your final grade.
Directions:
No late submissions will be allowed!
Grading Rubric:
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