Under the Revised Model Business Corporation Act, If a Promoter

question 61

Multiple Choice

Under the Revised Model Business Corporation Act, if a promoter acts on behalf of a corporation knowing that incorporation has not yet been completed and liability occurs:

• A) the corporation becomes liable once formed, with the promoter shielded from liability.
• B) the principals of the forming corporation are liable, with the promoter shielded from liability.
• C) the promoter is jointly and severally liable for the liability incurred even after the corporation is formed.
• D) the promoter is personally liable, with the principals shielded from liability.

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Definitions:

Conductive Hearing Loss

A type of hearing loss that occurs when sound is not conducted efficiently through the outer ear canal to the eardrum and the tiny bones (ossicles) of the middle ear.

Cerumen Impaction

A condition where earwax accumulates in the ear canal to a point where it can cause symptoms or block the ear canal.

Effective Communication

The successful exchange of information through speaking, writing, or other methods, ensuring the intended message is received and understood.

Enunciating

The act of pronouncing words or sounds clearly and distinctly.