Which of the Following Is Required in Order for a Transaction

question 58

Multiple Choice

Which of the following is required in order for a transaction to be considered a corporate inversion?

• A) The former U.S. company and its affiliates do not conduct substantial business in the foreign country of incorporation.
• B) Former shareholders of the U.S. corporation own 80% or more of the stock in the foreign corporation by reason of their U.S. stock ownership.
• C) A foreign corporation acquires substantially all of the assets of a U.S. corporation.
• D) All of the above are required.

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Definitions:

Intoxicated

The condition of being under the influence of alcohol or drugs to the extent of losing control over physical and/or mental faculties.

Avoid The Contract

To nullify or terminate a contractual agreement due to errors, fraud, or illegality.

Repudiating

A term often used in legal and financial contexts to refer to the rejection or denial of a claim, duty, or responsibility.

Capacity

In legal terms, it refers to the ability of an individual or entity to enter into a contract, including understanding its terms and being of legal age and sound mind.