The business judgment rule provides a director of a corporation immunity from liability when a plaintiff sues on grounds that the director violated the duty of care to the corporation so long as the director’s actions fall within the parameters of th
A close corporation is a corporation which is held by a limited number of shareholders and is not publicly traded.
Equitable subordination is a common law doctrine that courts use to ensure fairness in ranking debts during a bankruptcy proceeding.
When someone has a fiduciary duty to someone else, the person with the duty must act in a way that will benefit someone else financially.
Jingle Rule was a common law principle that governed the priority of claims between partnership creditors and the separate creditors of individual partners.
"Piercing the corporate veil" refers to a situation in which courts put aside [wex:limited liability] and hold a [wex:corporation|corporation's] [wex:shareholder|shareholders] or [wex:director|directors] personally liable for the corporation’s actions or debts. Veil piercing is most common in [wex:close corporation|close corporations].
The Securities Act of 1933 was Congress's opening shot in the war on securities fraud. Congress primarily targeted the issuers of securities. Companies which issue securities (called issuers) seek to raise money to fund new projects or investments or to expand their operations. These companies must attract potential investors.
