Social Studies

Hailie Benton

8 June, 14:02

Wilson, Bart, and Susan Fields decide to set up a corporation together called Fields, Inc. They follow the correct procedures for establishing their corporation, but once it is established they do not hold regular corporate meetings. Since they are all related, they conduct communications and business related to the corporation at their family gatherings and over casual phone conversations. When Fields, Inc., is sued for failing to pay some outstanding debts, the court likely will:

a. hold the Fields family personally liable.

b. pierce the corporate veil due to the failure to hold required corporation meetings.

c. dismiss the case because Fields, Inc., is an open corporation.

d. not dismiss the case against Fields, Inc., but will also not pierce the corporate veil.