Talbot v. James
Supreme Court of South Carolina
190 S.E.2d 759 (1972)
Relevant factsFree
James (defendant), co-director with Talbot (plaintiff) of Chicora Apartments, was authorized by the board to negotiate loan and construction agreements but instead secretly contracted with his own construction company for the work, receiving $25,025 without informing Talbot; a master credited Talbot's testimony that he was never informed, but the appellate court reversed, crediting James's contrary testimony.
IssueFree
Whether a corporate director may enter into a contract with the corporation without first disclosing all relevant facts to the other directors.