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CEO making a contribution- are they allowed to?
Posted: Wed Apr 23, 2014 8:23 pm
by LR25
Lets say in the company's bylaws you only need board approval of a donation of $1,000,000 or more and the CEO wants to make a donation of 750k to a library that is going to name a section of the library after him. Is the CEO able to do this without any problems?
Re: CEO making a contribution- are they allowed to?
Posted: Wed Apr 23, 2014 8:26 pm
by ph14
LR25 wrote:Lets say in the company's bylaws you only need board approval of a donation of $1,000,000 or more and the CEO wants to make a donation of 750k to a library that is going to name a section of the library after him. Is the CEO able to do this without any problems?
I'd talk about
http://www.casebriefs.com/blog/law/corp ... -v-barlow/ . I would analyze whether the fact that the CEO is getting the library named after himself distinguishes this instance from Barlow, and the CEO's duty of loyalty.