Fraud or improper conduct, Business Law and Ethics

Assignment Help:

Fraud or improper conduct:

English courts have intervened on numerous occasions and lifted the veil of incorporation in order to circumvent a fraudulent or improper design by a bunch of scheming promoters or shareholders. This is illustrated by the decisions in Jones and Another v Lipman and Another (13) and Gilford Motor Co Ltd v Horne (14). The court's order in the latter case is usually cited as an instance of  lifting the veil but it should be noted that the  defendant (Horne) was not a member of the company and, in principle, no veil existed between him and the company which would have been lifted by the court. It is rather an instance of the court regarding the company as Mr Horne in another form ("alter ego").

Enemy Character

A company may be regarded as an enemy if, inter alia, all or substantially all of its shares are held by alien  enemies. This is illustrated by Daimler Co Ltd v  Continental Tyre & Rubber Co (Great Britain) Ltd (15). Since there appears to be no Kenya case on the point, the principles summarised by Lord Parker may be useful guidance to a Kenyan who might have to determine, in a given case, whether a particular company is to be  regarded as a friend or enemy of Kenya.


Related Discussions:- Fraud or improper conduct

Removal of directors - company management, Removal of Directors: By s....

Removal of Directors: By s.185(1) a company may by ordinary resolution remove a director before the expiration of his period of office, but notwithstanding anything in the art

Market failures in the financial services industry, Question: State whe...

Question: State whether the following statements are TRUE, FALSE or UNCERTAIN. Briefly (two or three paragraphs) give reasons for your answer. (a) There are no market fail

Sales of goods, when can implied condition can be treated as warrantee?

when can implied condition can be treated as warrantee?

Explain about the european court of justice rulings, Explain about the Euro...

Explain about the European court of justice rulings. European Court of Justice Rulings: This observes that EU law is being interpreted correctly and resolves any matters

The acts of non-state actor, The acts of non-state actor More important...

The acts of non-state actor More importantly, the concept of non-state actor needs be discussed by the concept of state responsibility, that is to say how and to what extent a

Change the law and move to comparative negligence, 1. Maryland is one of a ...

1. Maryland is one of a few states in which contributory negligence is a complete defense, barring the plaintiff from any recovery. What is contributory negligence? How does it com

Internal and external environment, This project requires you to choose an o...

This project requires you to choose an organisation of your own choice and discuss on the following with respect to your chosen organisation: External Environment Mega

Proposed business structure, The business that you are to work on for this ...

The business that you are to work on for this assessment is Apex Pty Ltd, a company based loosely around property development and construction work. The specialisation of this com

Explain ihl prohibitions, Important to observe that IHL prohibitions It...

Important to observe that IHL prohibitions It is important to  observe that  IHL prohibitions should be identified and followed as  their violations/breach may be considered as

What is multiparty system and coalition, Multiparty system and coalition ...

Multiparty system and coalition We have already made conceptual excursion gaining impressions of the existence of multiple parties. Now, in this section we shall observe that h

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd