Corporate Law and Debtor-Creditor Law Quiz

To hold shareholders directly liable for corporation's obligations (correct)

To provide limited liability to corporations

To encourage shareholders to take risks with creditor funds

To protect shareholders from creditors' claims

Shareholders have an incentive to take risks with creditor funds (correct)

Creditors lack legal protection

Shareholders are not responsible for creditor funds

Limited liability corporations are not regulated

To protect shareholders from liability

To enforce corporate distribution statutes

To set aside the entity status of the corporation (correct)

To regulate shareholder claims

<p>Transfers of assets designed to defraud creditors</p> Signup and view all the answers

<p>Veil-piercing doctrines, fraudulent conveyance law, corporate distribution statutes, equitable subordination of shareholder claims</p> Signup and view all the answers