Shareholders generally have liability for the debts and obligations of the corporation beyond their capital contribution.

Name: Shareholders generally have liability for the debts and obligations of the corporation beyond their capital contribution.
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Shareholders are not typically personally responsible for the debts and obligations of the corporation beyond their initial investment (capital contribution). This is known as limited liability, which is a key advantage of the corporate form of business.

Shareholders Generally Have Liability for the Debts and Obligations of the Corporation