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Question: Boston Children's Heart Foundation (BCHF) is a nonprofit corporation organized for the purposes of conducting medical research and providing medical services to patients at Boston Children's Hospital. Nadal-Ginard was the president and a member of the board of directors of BCHF. He also served as an investigator for the Howard Hughes Medical Institute (HHMI), where he was paid a substantial salary and was involved in simi lar research.
Nadal-Ginard did not disclose his employment with HHMI to the other members of the board of directors. He determined his own sal ary with BCHF, established a severance benefit plan, and used BCHF funds for personal expenses. After learning that Nadal-Ginard was a salaried employee of HHMI, BCHF filed suit, claiming that Nadal-Ginard breached his fiduciary duties to the corporation. The district court agreed with BCHF and awarded damages.
Nadal-Ginard appealed the court's decision, arguing that he did not breach his fiduciary duty and that no conflict of interest existed. Do you think the court affirmed the district court's decision? Why or why not? [Boston Chil dren's Heart Foundation, Inc. v. Bernardo Nadal Ginard, 73 F.3d 429 1996
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