Jason Is One of 100 Shareholders in Jace Corporation

question 130

Essay

Jason is one of 100 shareholders in Jace Corporation.The remaining 99 shareholders are unrelated individual U.S.residents.During the year, Jason gave several of his shares in Jace Corp.to his brother as a birthday present and to his best friend, Hal (unrelated to all shareholders in Jace Corp.), as a wedding present.After these gifts, Jace Corp.has 102 shareholders.Is Jace Corp.prohibited from electing to become an S corporation? Explain.

Recognize and differentiate between contracts that are void, voidable, and unenforceable under various circumstances including those involving minors, intoxication, and mental illness.

Identify the types of contracts deemed necessary for minors and the special protections afforded to them under the law.

Comprehend the variations in legal responsibility and the ability to contract across different jurisdictions, including a comparative understanding of Chinese law regarding minors.

Understand the concept and implications of ratification and disaffirmance of contracts by minors upon reaching the age of majority.

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Definitions:

Research Project

A systematic investigation into and study of materials and sources to establish facts and reach new conclusions.

Binding Authority

Refers to the legal precedent or statutes that courts are obligated to follow.

Persuasive Authority

A legal authority, or source of law, that a court may look to for guidance but on which it need not rely in making its decision. Persuasive authorities include cases from other jurisdictions, discussions in legal periodicals, and so forth.

Negligence Action

A legal claim filed by someone who was harmed because of another party's failure to act with reasonable care.