alleryStart learning →Does a common director alone make two companies related parties?
AYes, if both are listed
BNo, not by that fact alone
CYes, if either is private
DYes, in every case
Answer & Solution
Correct answer: B. No, not by that fact alone
Two companies are deemed not related merely because they share a director, unless that director can affect the policies of both in their mutual dealings.
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