Which of the Following Is Not a Reason That a Court

question 33

Multiple Choice

Which of the following is not a reason that a court would likely pierce the corporate veil?

• A) A corporation did not follow statutory mandates regarding corporate business.
• B) Shareholders' personal interests and corporate interests are commingled such that the corporation has no separate identity.
• C) Shareholders attempt to commit fraud through a corporation.
• D) A corporation has only de facto status.
• E) A corporation lacks adequate capital when initially formed.

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Definitions:

Behavioral Response

A reaction of an individual to a stimulus or an environment, often assessed in psychological contexts.

Conscious Experience

The subjective awareness of one's thoughts, feelings, and environment, including sensory perception and self-awareness.

James-Lange Theory

The theory that emotions are the result of physiological reactions to external events.

Two-Factor Theory

A psychological theory, often applied to emotion or motivation, suggesting that an experience or emotion arises from the combination of a cognitive appraisal and a physiological response.