In recent years, Courts have found a number of reasons to “pierce the corporate veil.” Simply put, if the Courts cannot determine where the corporation’s liabilities and assets are separate and distinct from the shareholders’ liabilities and assets, then the Court has the right to hold the shareholders responsible for the corporations obligations.
Unfortunately, what can be perceived as a minor slip-up can put you, as an individual, at risk for the acts of the corporate entity. In order to maintain your personal limited liability, you must observe corporate formalities, no matter how large, or small, your corporation may be.
Contact Thousand Oaks corporate attorney Kent W. Keating
for assistance with maintaining or setting up your corporation, LLC, or other business entity 805.719.2246.