Shareholders who vote in favor of a transaction generally

Shareholders who vote in favor of a transaction generally

Shareholders who vote in favor of a transaction generally:

A. Cannot later challenge the transaction’s validity

B. May still challenge the transaction for fraud

C. Are exempt from all corporate liabilities

D. Must sell their shares after the transaction

Answer: B

Explanation: Shareholders can challenge transactions based on fraud, even if they voted yes; approval bars challenges for ordinary breaches.