Which of the following statements is true about the ultra vires doctrine?
A) It is the only stringent limitation on the enforceability of contracts entered into by corporations.
B) It permits corporate directors to freely prevent enforcement of unattractive contracts.
C) It permits the state attorney general to prevent enforcement of corporate contracts that extend beyond the corporation's authorized powers.
D) It does not permit the corporation to bring a suit for damages to the corporation against the officers of the corporation who have entered into an ultra vires contract.
Correct Answer:
Verified
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