CJ and Danny have incorporated and obtained a $100,000 loan in their corporate name.The loan is payable with interest over five years.After paying on the loan regularly for two years,the business falters due to the economy,and CJ and Danny default on the loan.Their business has no assets.Which of the following statements best describes CJ and Danny's liability in this case?

Question

Quizplus · Accepted Answer

A) The corporate status generally shields CJ and Danny from personal liability for corporate debts under the corporate veil.
h) The corporate status generally shields CJ and Danny from personal liability for corporate debts under the corporate veil.
i) The corporate status generally shields CJ and Danny from personal liability for corporate debts under the corporate veil.
j) The corporate status generally shields CJ and Danny from personal liability for corporate debts under the corporate veil.

CJ and Danny Have Incorporated and Obtained a $100,000 Loan