close corporation
A close corporation is a corporation which is held by a limited number of shareholders and is not publicly traded.
wex
llcs
fiduciary duty
Overview
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.
wex
piercing the corporate veil
Overview
"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].