Piercing the corporate veil of a textile company

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Reference no: EM131165561

The text includes some cases where this is the issue. Generally, corporate status provides a "veil" of liability protection for its officers, directors, and shareholders.

Generally, when the corporate privilege is abused for personal benefit or when the corporate business is treated in such a careless manner that the corporation and the shareholder in control are no longer separate entities, a court will require an owner to assume personal liability. Commingled assets, fraud, non-compliance with corporate formalities, and thin capitalization are among the circumstances that may justify piercing the corporate veil.

This is a fun case that discusses piercing the corporate veil of a textile company.

https://www.sconet.state.oh.us/rod/docs/pdf/8/2004/2004-ohio-3613.pdf

Can you believe this case made it to the appeals level?

Reference no: EM131165561

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