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Question: Olav, a retired banker, served on the

Olav, a retired banker, served on the board of directors for a nationally prominent charitable organization. The local chapter of the charity discussed plans to purchase and relocate to a new building across town. Olav approached Mansfield, a close friend, and the two of them quickly closed on a deal for the new building, purchasing it for $1.2 million and placing title in Mansfield’s name only. When the matter later came before the board of the charitable organization, Olav encouraged the organization to make an offer of $1.6 million to Mansfield. Olav did not disclose to the board that he would share in the profits of the sale.
a. Is Olav violating his fiduciary duty?
b. Is Olav violating his duty of loyalty?
c. Is Mansfield violating his fiduciary duty?
d. Is this an example of a proxy dispute?


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