Assertion: close corporation's shareholder | /r/HasProperty | liable
Facets:
value: for corporate debts
type: CAUSE
value: generally
type: DEGREE
value: under certain circumstances
type: TEMPORAL
value: to creditors
type: TRANSITIVE-OBJECT
value: up to the amount
type: OTHER
value: to the corporation
type: TRANSITIVE-OBJECT
value: directly
type: MANNER
Source sentences:
text: As such, these shareholders may be liable for failing to fulfill their fiduciary duties.
text: – shareholders were still liable directly to creditors, but just for the unpaid portion of their shares.
text: (The principle that shareholders are liable to the corporation had been introduced in the Joint Stock Companies Act 1844).
text: However, generally, a shareholder will only be liable up to the amount that's been distributed to them.
text: If the Board distributes all of the assets to the corporation's shareholders and later one or more creditors -- including the state franchise tax board, if applicable -- pursue payment, the shareholders will be liable up to the amount of the par value of their stock.
text: Please note that under certain circumstances, an individual shareholder may be liable for corporate debts, if, for example, a shareholder personally guarantees a corporate debt.