[header] How to uphold a fiduciary duty [title] Avoid self-dealing. [step] A self-dealing transaction in one in which a director enters into on behalf of the corporation that directly or indirectly benefits the director personally. For example, let us assume that the director represents a corporation that operates hotels. 
The hotel chain is looking to contract with a laundry company to clean the hotel's linens. The director of the hotel company enters into a contract on behalf of the hotel with the director's own laundry company at a price that is twice the cost of other laundry companies for the same services.