Northeast Harbor Golf Club, Inc. v. Harris
Maine Supreme Judicial Court
661 A.2d 1146 (1995)
Relevant factsFree
Harris, the Club's president, was twice offered the chance to buy land bordering the Club's golf course and purchased it in her own name without first disclosing the opportunity to the board; the trial court applied the line-of-business test, found real estate was outside the Club's business and that the Club lacked funds to buy, and ruled for Harris.
IssueFree
Whether, when a director of a corporation is presented with a business opportunity closely related to a business in which the corporation is engaged, the director must fully disclose the opportunity to the corporation prior to taking advantage of it himself.