In the case of a professional corporation,the shareholders are responsible for debts of the corporation.

Question

Quizplus · Accepted Answer

In the case of a professional corporation, shareholders are typically not personally responsible for the debts of the corporation, except in certain circumstances such as personal guarantees or illegal actions. This is one of the benefits of forming a professional corporation as it limits personal liability for the shareholders.

In the Case of a Professional Corporation,the Shareholders Are Responsible