Research on the Business Judgment Rule

Author: Ding Ding
Publisher:
Publish Date: 2005-01-01
Features: This series is based on new works by emerging scholars, pursuing theoretical innovation and serving practical needs. Although the authors are young scholars in the field of legal theory, their articles are well-structured and fluent, demonstrating a distinct academic style. Each book is infused with hard work and filled with wisdom. Legal monographs are symbols and achievements of theoretical research and innovation in law. The rich and diverse legal practices in China during the new era have led to the flourishing of legal theory research; building a rule of law state requires the summary and development of legal theory. Legal monographs involve significant investment but yield relatively little, yet they are beneficial to society and contribute to the construction of the national legal system.
The business judgment rule is a rule with significant theoretical and practical value in U.S. corporate law. It serves as the judicial review rule for examining whether directors have violated their duty of care. To this day, it retains the attributes of a case law rule, with far from unanimous views and opinions on many important aspects of the business judgment rule. Against the backdrop of comparative corporate governance, the author explores the fundamental aspects of the business judgment rule in the U.S. corporate law system, including its nature, content, composition, and scope of application. Through the analysis of typical cases, the author elaborates on the vitality of the business judgment rule as a case law principle and the judges' pursuit of fairness, justice, and reason behind it.
In the process of continuously improving corporate governance and company law in China, it is indispensable to learn from and compare the legislative experiences and achievements of other countries. This approach holds significant importance for identifying effective paths in corporate governance.