This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: In order to obtain limited liability, Tom and Doris formed an LLC to operate their catering ... (Read 120 times)

soccerdreamer_17

  • Hero Member
  • *****
  • Posts: 552
on: Jun 24, 2018
In order to obtain limited liability, Tom and Doris formed an LLC to operate their catering business. They sometimes deposited the proceeds from catering jobs into their personal checking accounts and if they needed to pay personal bills and were short of funds, they used the business account. If creditors of the business cannot get payment for their invoices, is there anything a court can do to help the creditors?

Question 2

Under the WTO's dispute-settlement procedures, who can bring a complaint for nullification and impairment?
 A) A corporation
 B) A group of corporations within an industry
 C) A government
 D) All of the above


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

TDubDCFL

  • Sr. Member
  • ****
  • Posts: 357
Reply #1 on: Jun 24, 2018
Answer to Question 1

It is common under corporate law for shareholders who do not comply with the technicalities of the law to be held personally liable for the corporate debts. This is called piercing the corporate veil. Similarly, the members of an LLC may be held liable if they do not observe the formalities required for the business. Here, Tom and Doris were mingling business and personal funds. Courts would be likely to disregard the LLC form and hold Tom and Doris personally liable for the business debts.

Answer to Question 2

C


soccerdreamer_17

  • Member
  • Posts: 552
Reply 2 on: Jun 24, 2018
Great answer, keep it coming :)

zacnyjessica

  • Member
  • Posts: 345
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

The Centers for Disease Control and Prevention has released reports detailing the deaths of infants (younger than 1 year of age) who died after being given cold and cough medications. This underscores the importance of educating parents that children younger than 2 years of age should never be given over-the-counter cold and cough medications without consulting their physicians.

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates's recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

The horizontal fraction bar was introduced by the Arabs.

Did you know?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

Did you know?

The newest statin drug, rosuvastatin, has been called a superstatin because it appears to reduce LDL cholesterol to a greater degree than the other approved statin drugs.

Formed elements of blood: erythrocytes, leukocytes (neutrophils, eosinophils, basophils, lymphocytes Formed elements of blood: erythrocytes, leukocytes (neutrophils, eosinophils, basophils, lymphocytes
Use of cell fusion and selection to obtain hybridomas producing monoclonal antib Use of cell fusion and selection to obtain hybridomas producing monoclonal antib
Sample Exercise Program for Limited Older Adults (cont.) Sample Exercise Program for Limited Older Adults (cont.)
Sample purchase order form. Sample purchase order form.
Most drugs exhibit first-order elimination, in which the rate of drug elimination is equivalent to ... Most drugs exhibit first-order elimination, in which the rate of drug elimination is equivalent to ...
How to solve an exponential decay problem involving first order decay How to solve an exponential decay problem involving first order decay
Video: Nucleic acid digestion - brush border enzymes, end products & transport mechanism

For a complete list of videos, visit our video library