For Many Years, A&P Travel Inc Was a Large and Successful

For many years, A&P Travel Inc was a large and successful travel agency. After the events of September 11, 2000, however, the company began to struggle. Its difficulties were attributable to several causes: (i) increased airport security and heightened fears of terrorism discouraged some people from traveling, (ii) the introduction of new travel- related taxes reduced the volume of air travel, and (iii) the corporation's owners, brothers by the name of Aristotle and Plato Socratii, began to squabble over operation of A&P Travel. The accumulated burden of those problems eventually became too much to bear, and the company went into bankruptcy. Aristotle and Plato are certainly sad to see their company disappear, but they take some solace in their belief that, even though they are the sole shareholders and directors of the corporation, they cannot be held personally liable for any debts or obligations associated with A&P Travel. Are they right? Can they be held personally liable? If so, explain the basis of that liability.