Quiz 27: Corporate Formation and Financing


img , a suit of breach can be brought against the defendant's corporation. The defendant's corporation was created under the laws of its country. A corporation is a legal entity, separate from its individual owners. It can be treated as artificial person that is created by a state. A corporation may enter into contracts, can sue or can be sued in their own names, hold title to a property or transfer a property, held liable for violations of laws. Thus, it is appropriate for the plaintiff to hold a suit of breach of "express warranty" contract against the defendant's corporation.

The plaintiff's is a not-for-profit private corporation. Not-for-profit corporations are primarily involved in charitable, religious, educational, or other such purposes. The plaintiff's corporation was involved in promoting, advancing, and sponsoring baseball. It often conducted. It looked after a number of activities such as leasing field for teams, appointing coaches for team practice, conducting baseball camps, etc. Although the plaintiff raised profits by selling tickets for baseball game, it never used it to distribute among directors or members of the corporation. Instead, all the proceeds from tickets were used for the improvements of field. All these attributes depict that the corporation was a not-for-profit corporation.

M's corporation is a domestic corporation to the state of Pennsylvania as it was incorporated in that state. M's corporation is a foreign corporation to the state of Florida. M's corporation had never registered to do business in the state of Florida. Thus, it is not possible for the plaintiff's corporation to bring a lawsuit in in that state. However, it may very well defend itself against the lawsuit brought to it by B.

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