§ 5716. Alternative standard.
(a) General rule.--In discharging the duties of their respective positions, the board of directors, committees of the board and individual directors of a nonprofit corporation may, in considering the best interests of the corporation, consider the effects of any action upon employees, upon suppliers and customers of the corporation and upon communities in which offices or other establishments of the corporation are located, and all other pertinent factors. The consideration of those factors shall not constitute a violation of section 5712 (relating to standard of care and justifiable reliance).
(b) Presumption.--Absent breach of fiduciary duty, lack of good faith or self-dealing, actions taken as a director shall be presumed to be in the best interests of the corporation.
(c) Cross reference.--See section 5711 (relating to alternative provisions).
Cross References. Section 5716 is referred to in sections 5711, 5717 of this title.
Section: Previous 5708 5709 5711 5712 5713 5714 5715 5716 5717 5721 5722 5723 5724 5725 5726 NextLast modified: October 8, 2016