Which of the following is a requirement under Sarbanes-Oxley?
a. The majority of the board of directors must be independent.
b. No inside officers can serve on the board of directors.
c.Lawyers must blow the whistle on their corporate clients engaged in fraud.
d.all of the above
Terry Locklear obtained a prescription for extended-wear contact lenses from his
ophthalmologist. He purchased a year’s supply of the lenses over the internet. After
wearing a pair of lenses for 2 weeks, Terry developed an eye infection that has resulted
in permanent impairment of the vision in his right eye. He has brought suit against the
lens manufacturer. The manufacturer indicates that it has no liability and that the
liability rests with Terry’s ophthalmologist because the physician is to provide the
training for the maximum wearing time of one week. There is no information in the lens
materials or on the boxes about the maximum length for wearing time.
a. The manufacturer is correct; only the doctor is liable.
b. The manufacturer is incorrect because its product is defective for its failure to warn.
c.Neither the physician nor the manufacturer is liable because Terry did not inquire
about proper wear and usage.
d.Both the manufacturer and physician are liable but have a complete defense because
of Terry’s negligence.