Opinion ID: 1247936
Heading Depth: 1
Heading Rank: 6

Heading: The Use of a Corporation as a Mere Shell for the Business of the Corporation

Text: With respect to this factor, the court found: Robert B. Yost, Peter Cheladyn, and Jack Yost were the incorporators of Yost Brothers Company. Cheladyn furnished the capital and the Yost Brothers were to operate the business. Jack Yost left the business in 1962. Mr. Cheladyn sold his shares to the company in 1975, but was never paid. Throughout the corporate history, Robert B. Yost was the president, operating executive of the corporation, and member of the board of directors of the corporation. In 1964 until his death, he held two-thirds of the stock of the corporation, and the remaining one-third was held in escrow after 1975, subject to the purchase agreement of Mr. Cheladyn's shares by Yost Brothers Company.       That after 1962, Robert B. Yost was the sole managing officer of Yost Brothers Company. The corporation is revealed by the evidence to be the only vehicle by which Robert B. Yost conducted business and it was closely identified with him, personally.