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Aunt Juliet Wants to Incorporate a Small Closely Held Corporation

Question 56

Multiple Choice

Aunt Juliet wants to incorporate a small closely held corporation. Which of the following bits of advice, given to her by friends, is false?


A) She can enter into a contract on behalf of the corporation even before incorporation and the corporation will automatically be bound when it is incorporated.
B) The incorporation document to be submitted in Ontario is the "Articles of Incorporation."
C) The incorporation documents to be submitted in B.C. are called the "Memorandum" and the "Articles."
D) In some jurisdictions in Canada, she could be personally responsible for a pre-incorporation contract.
E) She has the option of incorporating federally if she wants.

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