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The Revision of the Company Law and the Director's Duty of Care——Analysis on Business Judgment Rule

HU Xiao-k

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Abstract

Among the revision draft of the Company law,the relevant clause of a duty of care can be supplemented.Regarding this as the starting point,this text compares a fiduciary duty with a duty of care,and analyses the business judgment rule on common law legal precedent and director’s duty of care, and expounds the regular theory value and realistic meaning introducing a duty of care and business judgment rule while the Company law in revising.

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What this paper is about

Among the revision draft of the Company law,the relevant clause of a duty of care can be supplemented.Regarding this as the starting point,this text compares a fiduciary duty with a duty of care,and analyses the business judgment rule on common law legal precedent and director’s duty of care, and expounds the regular theory value and realistic meaning introducing a duty of care and business judgment rule while the Company law in revising.

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Available abstract

Among the revision draft of the Company law,the relevant clause of a duty of care can be supplemented.Regarding this as the starting point,this text compares a fiduciary duty with a duty of care,and analyses the business judgment rule on common law legal precedent and director’s duty of care, and expounds the regular theory value and realistic meaning introducing a duty of care and business judgment rule while the Company law in revising.

Key concepts: Fiduciary, Duty, Duty of care, Law, Business judgment rule, Point (geometry), Meaning (existential), Business

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