Alter Ego

Definition

Legal doctrine whereby the court finds a corporation lacks a separate identity from an individual or corporate shareholder, resulting in injustice to the corporation’s debtors. Finding alter ego gives the court cause to pierce the corporate veil and hold individual shareholders personally liable for debts of the corporation. 

Illustrative caselaw

See, e.g. Fletcher v. Atex, Inc., 68 F.3d 1451 (1995) and United States v. Bestfoods, 524 US 51 (1998).

See also