Which of the Following Is NOT a Factor Used by Courts

question 56

Multiple Choice

Which of the following is NOT a factor used by courts to determine whether to pierce the corporate veil?

• A) Poor management and decision making by an inadequately trained or educated manager.
• B) Inadequate capitalization.
• C) Evidence of fraud or willful misconduct.
• D) Failure to follow necessary corporate formalities.

---

Definitions:

Pregnancy

The condition of having a developing embryo or fetus in the uterus, marked by various physical and hormonal changes in the body.

Maternal Cigarette Smoking

The act of smoking cigarettes by a mother, which can have harmful effects on fetal development and child health.

Miscarriage

The spontaneous loss of a pregnancy before the fetus can survive outside the womb, typically occurring before the 20th week of pregnancy.

Prematurity

The condition of being born before the completion of the normal term of pregnancy, often resulting in health challenges for the infant.