Q: In this task, you will be shown a prompt from a judicial decision and multiple holding statements derived from citations following text in a legal decision. Holdings represent the governing legal rule when the law is applied to a particular set of facts. There are five answer choices for each citing text. The correct answer is the holding statement that corresponds to the citing text. The four incorrect answers are other holding statements. You should find the correct option. There is a <HOLDING> token in the position of the citing text prompt where the holding statement was extracted.
intend to preclude a franchise tax upon other, unmentioned corporate entities. Unless otherwise provided by law, a franchise tax is imposed upon all domestic and foreign corporations doing business in Texas. See Tex.Tax.-Gen.Ann. arts. 12.01 to 12.22 (Vernon 1969 & Supp.1978-1979). The granting of the privilege to transact business in this state confers economic benefits, including the opportunity to realize gross income and the right to invoke the protection of local law. The Texas franchise tax is a tax on the value of this privilege. General Dynamics Corp. v. Bullock, 547 S.W.2d 255, 257-58 (Tex.1976); Texaco, Inc. v. Calvert, 526 S.W.2d 630, 633 (Tex.Civ.App.Austin 1975, writ ref'd n.r. e.); see Ford Motor Co. v. Beauchamp, 308 U.S. 331, 334-35, 60 S.Ct. 273, 84 L.Ed. 304 (1939) (<HOLDING>). The formula employed to compute a
Holding statements: (A) holding that litigating franchise dispute in michigan does not require that michigan law govern dispute as michigan franchise investment law does not expressly void choice of law provisions in franchise agreement (B) recognizing this texas rule (C) holding that where the entity was incorporated in texas and the shareholders reside in texas and the bankruptcy case is pending in texas texas law not arizona law should be applied (D) holding texas franchise tax constitutional (E) holding texas poll tax unconstitutional
A:
(D)