Contract-Centered Veil Piercing

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Date
2007
Language
American English
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Abstract

The application of the doctrine of piercing the corporate veil to contract disputes has been attacked as undesirable. This article shows that applying piercing to contracts is desirable. Contract-centered veil-piercing functions akin to a penalty-default clause that encourages the efficient pro- duction of information, avoids wasteful precaution, and promotes the use of the corporate form for entrepreneurship.

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13 Stanford Journal of Law, Business & Finance 121
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