Limited liability

Since its creation in 2010, Salvos Law has conducted over 11,000 pro bono cases in Australia. Salvos Law is a firm under the ABS structure and is apart of Salvation Army and is comprised of a commercial law firm and a pro bono firm. The number of pro bono case taken on by Salvos Law is significantly greater than the amount of pro bono cases conducted by most firms in Canada and it’s success is attributed to its ability of Salvation Army to have unlimited ownership of the law firm. In British Colombia

1) joint-stock company: Joint-stock companies were groups of people, where every member put up a specific amount of money, or capital, and got a specific number of shares in return. For example, if in total there were 50 shares, and a person owned 5 of them, they would own 10 percent of the shares. Consequently they would 10 percent of all profits made by the shares. If they suffered a loss, then the person would only have the responsibility of 10 percent of it. During the 1600s these companies

The fiduciary duty to shareholders is also present in common law as a duty amongst two people committing a transaction, where “one who fails to disclose material information prior to … a transaction commits fraud only when he is under a duty to do so” (445 U.S. 229). It then describes that duty as a result of “a fiduciary or other similar relation of trust and confidence between them” (445 U.S. 229). The importance of this fiduciary duty is clear, and it is uncontested that Maher Kara owed that duty

there is no obligation share within the parties, and Teresa is liable for any liability arise from the operation of warehouse. Suggestion: Teresa can try to find a way to be bind with Gaslight Production so that she can have same liability regarding The Warehouse with Gaslight Production. Considering the fact that Teresa already shares profits and management with Gaslight Production, it is better to share liability with Gaslight Production to reduce potential losses that may arise from legal or

Liability for Omissions The law has historically been reluctant to impose a general liability for omissions as opposed to positive acts. This means that there is no general duty of care in tort to act in order to prevent harm occurring to another. In Smith v Littlewoods Organisation, Lord Goff stated clearly that “the common law does not impose liability for what are called pure omissions”. Similarly, in Yuen Kun Yeu v A-G of Hong Kong, Lord Keith stated that people can ignore their moral responsibilities

The Fifth Amendment, "no person shall be...deprived of...property without due process of law; nor shall private property be taken for public use, without just compensation”, also applies to corporations. Without this amendment applying to corporations, commercial property could be taken away arbitrarily, without just compensation at any time for any reason. In a country that is built upon a rich history of business ownership and commerce, it is important to note the fact that America would not be

MEMORANDUM To: (Professor) From: (Name) Re: Applicability of Corporate Law on Shareholder Liabilities and Dividends Distribution Date: .............. Executive Summary: This memo analyses a case where MicroTek Inc, a GPS software development company, became insolvent after engaging into ultra vires contracts leading to unsustainable levels of liquidity. While the insolvency could have been solved through conducting net asset test, this memo concludes that the payment of dividends in the tune

reasonably able to expect or foresee the nonclient’s use of the accountant’s work product”. Under this test, both the shareholders and Prosser Bank would be able to sue the accountant. Common Law fraud is difficult to prove. Actual fraud liability covers all foreseeable users of the accountants work product, but scienter needs to be proven. Since the embezzlement scheme was carried out by the President, the accountant cannot be sued for actual fraud. Constructive fraud occurs when a professional

incorporation, the second change is that of perpetual existence as it was described by Nace (2005) “The classic corporation was chartered for a limited term and had to periodically apply to have its charter extended — every six to fifty years, depending on the type of business. After the advent of general incorporation statutes, states gradually began to replace limited terms with perpetual terms (almost half done so by 1903)” (p. 91).

Immediate Issue(s) or Problem(s): The Directors and officers shall perform the duties enjoined on them by law and the by-laws of the corporation. They act as agents or representatives of the Corporation in carrying out its rights and obligations provided by law. Directors who directed the affairs of the Corporation in bad faith, gross negligence, and those involving a conflict of interest with their duty to the Corporation shall be liable to the Corporation, its stockholders & other persons. The