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In Donahue V

Question 75

Multiple Choice

In Donahue v.Rodd Electrotype Co., Inc., the court's opinion stated:


A) by definition, a close corporation bears striking resemblance to a partnership.
B) minority shareholders have no right to rely on the loyalty and abilities of the majority.
C) minority shareholders in a close corporation can cause dissolution of the corporation.
D) when a close corporation purchases the shares of a controlling stockholder, there is necessarily a preferential distribution of the corporation's assets.

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