The Notion of Proximity

question 81

Multiple Choice

The notion of proximity:

• A) is separate from consideration of reasonable reliance.
• B) has a precise legal definition.
• C) can relate to nonspecific third parties.
• D) is not separate from foreseeability.

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Definitions:

Corporation

A legal entity separate from its owners, with rights to own assets, incur liabilities, hire employees, enter contracts, and provide protection for its shareholders.

Sole Proprietorship

A type of business ownership where a single individual owns, manages, and is responsible for all aspects of the business.

Limited Liability Corporation

An organizational form that integrates the single-level taxation characteristic of partnerships and sole proprietorships with the protective limited liability feature of corporations.

Debt Financing

Acquiring funds for business activities by borrowing money, typically through loans or by issuing bonds, that must be repaid with interest.