When a Promoter Is Liable on a Preincorporation Contract,the Promoter

question 25

Multiple Choice

When a promoter is liable on a preincorporation contract,the promoter is released from liability on the contract:

• A)only after the contract has been fully performed.
• B)when the corporation ratifies the contract.
• C)when the corporation and the other party to the contract agree to release the promoter from liability.
• D)when the corporation's articles have been filed by the secretary of state.