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Under the Rule Applied in Most States,which of the Following

Question 27

Multiple Choice

Under the rule applied in most states,which of the following justifies holding an acquiring corporation liable to a party injured by a defect in a product sold by the acquired corporation?


A) The new company is a continuation of the predecessor corporation.
B) The acquiring corporation is in a better position to bear the risk than the consumer.
C) The transaction was entered into to escape liability.
D) All of the responses are correct.

Correct Answer:

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