Podcast
Questions and Answers
What are the two requisites for an entity to be classified as a stock corporation?
What are the two requisites for an entity to be classified as a stock corporation?
- Being organized as a non-stock corporation, and having no members
- Having capital stock divided into shares, and being authorized to distribute dividends (correct)
- Being owned by the government, and having no shareholders
- Having members and distributing income to them
In the context of piercing the corporate veil, what factor is NOT considered for the application of the doctrine?
In the context of piercing the corporate veil, what factor is NOT considered for the application of the doctrine?
- Methods of conducting business
- Stock ownership by one or common ownership of both corporations
- Identity of directors and officers
- Profit distribution to shareholders (correct)
For piercing the veil of corporate fiction to be allowed, what level of control must the defendant have over the corporation?
For piercing the veil of corporate fiction to be allowed, what level of control must the defendant have over the corporation?
- Complete domination in finances and policy only
- Mere stock control
- Complete domination in finances, policy, and business practice (correct)
- Control limited to policy decisions
What must be proven by the party alleging the presence of factors for piercing the corporate veil?
What must be proven by the party alleging the presence of factors for piercing the corporate veil?
What is a fundamental aspect of a government-owned or controlled corporation (GOCC) according to the text?
What is a fundamental aspect of a government-owned or controlled corporation (GOCC) according to the text?
What is the legal definition of a corporation according to the text?
What is the legal definition of a corporation according to the text?
When can the corporate veil be pierced according to the text?
When can the corporate veil be pierced according to the text?
What are some characteristics of a corporation as mentioned in the text?
What are some characteristics of a corporation as mentioned in the text?
In what situations can the corporate veil be pierced, based on the text?
In what situations can the corporate veil be pierced, based on the text?
What distinguishes a corporation's legal personality from those acting on its behalf?
What distinguishes a corporation's legal personality from those acting on its behalf?
