MCS 3040 Chapter 15: Law Chapter 15

• School: University of Guelph
• Department: Marketing and Consumer Studies
• Course: MCS 3040
• Professor: Joseph Radocchia

Document Summary

Corporation: predominant business vehicle in modern commerce because it is a separate leal entity, the corporation alone is responsible for its own debts and other liabilities so if they fail to meet them, the shareholders aren"t responsible. Salomon v salomon ltd: the concept of a corporation being a separate legal entity was established in this case, even if you are a small or one person corporation, it doesn"t matter. They must decide: whether to incorporate federally or provincially, what type of shares will be available and to whom, what to name the corporation. Articles of incorporation: the document that de nes the basic characteristics of corporations incorporation in newfoundland, new brunswick, ontario, manitoba, saskatchewan, alberta, and the federal jurisdiction. Incorporator: the person who sets the incorporation process in motion. Financing the corporation: debt nancing borrowing money, equity nancing issuing shares. Bond: a document evidencing a debt owed by the corporation, often used to refer to a secured debt.