Section 9.3 Duty of Care

• Library: Insurance Practice 2015

Directors and officers may be held liable for failing to exercise due care in safeguarding the well-being of the corporation. Boulicault v. Oriel Glass Co., 223 S.W. 423, 428 (Mo. banc 1920). Under Missouri law, the degree of care required is that which an ordinarily prudent person under similar circumstances would exercise. See Bold v. Simpson, 802 F.2d 314 (8^th Cir. 1986). In Bold the Eighth Circuit applied Missouri law to find that a corporate director who was also an attorney failed to exercise the...