Chapter 2: Running a Corporation

Descripción

Managing Legal Risk in the Hospitality Industry Part II, Chapter 2
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Resumen del Recurso

Pregunta 1

Pregunta
Companies often choose to incorporate in Delaware. Which of the following is NOT a reason why corporations choose Delaware?
Respuesta
  • Delaware requires only a majority to agree to business decisions.
  • Chancery court (in Delaware) hears nothing but business cases and with judges who are experts in corporate law.
  • Delaware has an established body of precedent, therefore case outcomes are easy to predict.
  • Delaware offers the ability to incorporate under federal law i.e. USA wide.

Pregunta 2

Pregunta
All corporations must use one of the following words in their name: corporation, incorporated, company, or limited.
Respuesta
  • True
  • False

Pregunta 3

Pregunta
Incorporators have a substantial stake in the company of which they incorporate.
Respuesta
  • True
  • False
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