Analyze 4 real cases of directors liability and lessons learned Essay - 1

Analyze 4 real cases of directors liability and lessons learned - Essay Example The initial case is a lawsuit concerning the president for a computer game company. In this case, the director breached his duty of being honesty because the Korean Website company reported the computer game company, 9Korea, together with the company’s director. This complains represented many people who had problems with the company, because it was using their personal residential registration number illegally. The residential claimed that the company’s president was not honest because he was illegally using their identities to open up new accounts for the online game developer. Regarding this case, the court alleged that the company together with its president should be the first party involved in campaigning against illegal use of other people’s names in online game registration. The courts also accused the company for being negligent by using other people real name together with their personal information, which affected more than 800 individuals without thei r permission. Therefore, the court posited that the corporation should reimburse every plaintiff a damage price of KRW 1, 000,000 (Loos 503). Second case is about Atlantic Richfield Company (ARCO). A minor shareholder in the company called McMullin. Mr. Beran alleged this case, claiming that the chemical company director favors major shareholders when it comes to discussing the prices for chemical products. Mr. Beran claimed that the director failed to follow the required rules in implementing the prices, thus discriminating the needs of minor shareholders in the company. Regarding this matter, the court dismissed the case citing the fact that the plaintiff had planned to rebut the rule governing judgments, which is in place to cover all directors against liabilities. Mr. Beran filed this case because he believed that the company’s director breached fiduciary duties that required him/her to perform his/her