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Joe Is the Promoter of New Corporation (NC)

Question 30

Multiple Choice

Joe is the promoter of New Corporation (NC) .He entered into various preincorporation contracts.NC was properly formed on January 1,2006.As a result:


A) Joe is no longer personally liable on those preincorporation contracts.
B) NC is automatically liable on those preincorporation contracts.
C) Joe is jointly and severally liable on preincorporation contracts.
D) Joe is not liable because NC released him from personal liability.

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