The Smith V

Multiple Choice

The Smith v.Van Gorkam decision underscores which of the following regarding statements of officers or directors?

A) An outside director, but not an inside director, may in good faith rely upon any statement of an executive officer.
B) An inside director, but not an outside director, may in good faith rely upon any statement of an executive officer.
C) Any director may in good faith rely upon any statement of an exeecutive officer.
D) Not every statement of an executive officer can be relied upon in good faith.