Advisory Board Member Liability

Summary

In Oregon, advisory board members typically provide non-binding strategic advice and may not be subject to the same legal duties as directors. However, board members have a duty of care and loyalty, which includes disclosing all material information to shareholders. Failure to disclose significant business risks can lead to lawsuits for breach of fiduciary duty. Specific responsibilities can vary based on the companys bylaws.

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Liability of advisory board member
What specific actions or decisions are causing concern about liability as an advisory board member?
Lawsuits by shareholders
What is the nature of the lawsuits by shareholders? Are they alleging breach of fiduciary duty, negligence, or something else?
Fiduciary responsibility
What specific actions are being alleged as a breach of fiduciary responsibility?
Lack of disclosure in raising money
What information was allegedly not disclosed during the fundraising process?

In Oregon, board members have a duty of care and loyalty, which includes disclosing all material information to shareholders.
Business risks
In Oregon, board members are required to disclose all significant business risks to shareholders. Failure to do so can lead to lawsuits for breach of fiduciary duty.
Hire is advisory board different
Advisory board members in Oregon typically provide non-binding strategic advice, and are often not subject to the same legal duties as directors. However, specific responsibilities can vary based on the company's bylaws.
Can you cite sources?
Sure, here are some sources for further reading:

- Oregon Revised Statutes, Chapter *: https://www.oregonlegislature.gov/bills_laws/ors/ors060.html
- "Advisory Boards in Startups" by Oregon State Bar: https://www.osbar.org/publications/bulletin/12janfeb/biz.html