Asked by Jessica Leigh on Jul 17, 2024
Verified
The law of piercing the corporate veil is an example of a ________ law protecting the creditors of corporations.
A) commerce
B) common
C) constitutional
D) statutory
Corporate Veil
A legal concept that separates the actions and liabilities of a corporation from those of its shareholders, protecting them from personal liability.
Creditors
Individuals or entities to whom money is owed by another individual or entity known as the debtor.
- Understand the basic concepts and legal framework governing corporations, including types and characteristics.
Verified Answer
CE
Cheyanne EllenJul 24, 2024
Final Answer :
B
Explanation :
Although nearly all of corporation law is statutory law,including the courts' interpretation of the statutes,there is a substantial body of common law of corporations (judge-made law).Most of this common law deals with creditor and shareholder rights.For example,the law of piercing the corporate veil is a common law protecting creditors of corporations.
Learning Objectives
- Understand the basic concepts and legal framework governing corporations, including types and characteristics.