The Legal Environment of Business: Text and Cases (MindTap Course List)
10th Edition
ISBN: 9781305967304
Author: Frank B. Cross, Roger LeRoy Miller
Publisher: Cengage Learning
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Question
Chapter 18, Problem 1BS
(a)
Summary Introduction
Case summary: Persons C, O, and T want to establish a business of digital tablets. Person P tells that he will be in favor for the formation of the corporation. P enters into a contract with O for purchasing a piece of land. Person O is not aware of the way a corporation is formed at the time of signing the contract. P makes a contract with person B to construct a small plant on the property. The contract with person B is conditional on the formation of the corporation. The P secures all necessary documents and capitalization. P filed the articles of incorporation of the corporation.
To find:The liability of the corporation and person P for contracts signed with person O and person B.
(b)
Summary Introduction
Case summary: Persons C, O, and T want to establish a business of digital tablets. Person P tells that he will be in favor for the formation of the corporation. P enters into a contract with O for purchasing a piece of land. Person O is not aware of the way a corporation is formed at the time of signing the contract. P makes a contract with person B to construct a small plant on the property. The contract with person B is conditional on the formation of the corporation. The P secures all necessary documents and capitalization. P filed the articles of incorporation of the corporation.
To find: The liability of the corporation to the contract of person B once it is formed.
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Chapter 18 Solutions
The Legal Environment of Business: Text and Cases (MindTap Course List)
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