Legal Relations Chap 16

A theory specifying that a corporation is liable when the person committing the wrong is the corporations directing mind.

An offence contrary to the public interest.

Can not intercept a corporate opportunity - A business opportunity in which the corporation has an interest.

Directors and officers must meet a general standard of competance

Suit by a shareholder on behalf of a corporation to enforce a corporate cause of action

Statutory remedy available to shareholders to protect their corporate interests

Agreement that defines the relationship among people that have an ownership interest in a corporation

Agreement among all shareholders that restricts the power of the directors to manage the corporation.

• Winding up - process of dissolving
• Lapse - neglect to file annual report
• Court order - shareholders wrongfully treated and this is the only way to do justice
• Bankruptcy - usually leads to dissolution