‘Formalities’ Archive
What does "piercing the corporate veil" mean?
The courts often use the terminology of “piercing the corporate veil” when they decide to ignore the separate existence of a corporation with respect to liability protection or in other words, eliminate the corporate protection. The reason the corporate form or structure provides limited liability protection is that a corporation is viewed by the law » Continue…
Is limited liability protection still alive and well?
I’ve heard some people say they didn’t believe limited liability protection was still effective. That simply is not an accurate statement. Each state has court cases that interpret the principle of limited liability protection, but the principle is basic to corporate law and is upheld in all states. I regularly recommend someone form an LLC » Continue…
What kind of liability protection does a corporation provide?
The law allows you to conduct business just yourself as a sole proprietor or with someone else as a partnership. If you operate the business yourself or as a partner then, for legal purposes, your identity is the same as the business. If your business is sued, both the business assets and your personal assets » Continue…
What should I do if I've decided to discontinue using my corporation?
If you are going out of business or are simply not using your corporate form, there are several different ways to discontinue. The first involves not filing your annual report form. If you do not file the annual report form with the secretary of state, your corporation will be administratively suspended. This means you are » Continue…
