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Conflicts of Interest. Oxy Corp. is negotiating with Wick Construction Co. for the renovation of Oxy's corporate headquarters. Wick, the owner of Wick Construction Co., is also one of the five members of Oxy's board of directors. The contract terms are standard for this type of contract. Wick has previously informed two of the other directors of his interest in the construction company. Oxy's board approves the contract by a three-to-two vote, with Wick voting with the majority. Discuss whether this contract is binding on the corporation. (See Corporate Directors and Officers.) 18-3. Duty of Loyalty. Kids International Cross, Frank B.; Miller, Roger LeRoy. The Legal Environment of Business: Text and Cases (MindTap Course List) (p. 418). Cengage Learning. Edición de Kindle.
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