In Litigation Involving a Promoter,one of the Parties Named in a Contract

question 41

Multiple Choice

In litigation involving a promoter,one of the parties named in a contract is described as an entity yet to be incorporated.Under what circumstances will a court find the promoter NOT to be personally liable?

• A) if a specific advantage of a valuable business opportunity exists
• B) if a specific provision expressly relieves such liability
• C) if the corporation has committed a crime
• D) if the directing mind has committed a crime

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Definitions:

Separation Anxiety Disorder

A psychological condition in which an individual experiences excessive fear or anxiety when separated from major attachment figures.

Nightmares

Disturbing dreams that cause the dreamer to wake up feeling anxious and frightened.

Tantrums

Emotional outbursts, typically seen in children, that are often characterized by crying, screaming, and sometimes physical behaviors like kicking or hitting.

Conduct Disorder

Disorder marked by persistent breaking of the rules and violations of the rights of others.