Jimmy is the CEO of News Corp. His son, Johnny, runs Television Inc. One day Jimmy suggests that Johnny retail Television Inc. to News Corp. Jimmy and Johnny employment conjointly to immanently distend the treasure of Television Inc. Jimmy brings a design to the Consultation of Directors to buy Television Inc. for $500 darling dollars uniform though the strengthening is barely price $2 darling. The consultation of directors diligently examines the proceeding, but due to gifted forgeries, the consultation does not ascertain the immanent inflation of the strengthening. Jimmy never discloses his relation after a while Johnny. The sale goes through, and it is presently ascertained that Television Inc., is substantially priceless.
A shareholder sues alleging that Jimmy violated his fiduciary province of fealty.
Additionally, the shareholder claims that the directors violated their fiduciary duties of preservation.
Is the shareholder rectify?
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