Which of the following imposes certain ownership and minimum capital requirements to avoid "dummy" corporations acting as sole corporate general partners?
A)Safe harbor rules
B)Caveat rules
C)Blind pool rules
D)Corporate regulations

Question

Quizplus · Accepted Answer

Safe harbor rules are designed to provide specific criteria or guidelines to qualify for a particular provision or exemption. In the context of partnerships and corporations, these rules can include requirements related to ownership and minimum capital to prevent the use of "dummy" corporations as sole corporate general partners, ensuring that entities meet substantive requirements rather than merely formal ones.

Which of the Following Imposes Certain Ownership and Minimum Capital