A Action Corporation Purchases All of the Assets of the Bell

question 6

Essay

a. Action Corporation purchases all of the assets of the Bell Corporation. After the purchase, a creditor of the Bell Corporation asserts that, by buying the assets of the Bell Corporation, Action has automatically assumed all of Bell's obligations. Is he correct? Explain.
b. Dicton Corporation is merged into the Crag Corporation. One of Dicton's creditors was not paid before the merger occurred. The creditor demands payment from the board of directors of the Crag Corporation. The board says that because the Dicton Corporation no longer exists, Crag has no obligation to the creditor. Who is right? Explain your answer.

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Definitions:

Herbal Brews

Beverages made from infusing or boiling herbs and plant materials in water, often consumed for medicinal, recreational, or ceremonial purposes.

Exorcism

A religious or spiritual ritual intended to remove evil spirits from a person or place believed to be possessed.

Supernatural Causes

Causes beyond the understanding of ordinary mortals, such as the influence of gods, demons, or magic. Psychological dysfunction in various historical periods was thought to result from either possession by demons or the witchcraft of evil people.

Natural Causes

Events or circumstances occurring in nature (such as aging, disease, or genetic predisposition) that lead to death or changes without human intervention.