If a U.S.company chooses to establish a wholly-owned subsidiary abroad,it faces less potential vicarious liability because it is separated from the branch.

Question

Quizplus · Accepted Answer

Establishing a wholly-owned subsidiary abroad does not necessarily reduce a U.S. company's potential vicarious liability, as the parent company can still be held liable for the actions of its subsidiary under certain circumstances, especially if it exercises significant control over the subsidiary's operations.

If a USCompany Chooses to Establish a Wholly-Owned Subsidiary Abroad,it Faces Less