1.2 - Consequences of Separate Legal Personality Flashcards
(6 cards)
1
Q
What is the first consequence of a separate legal personality?
A
The company can own property
2
Q
Which case demonstrates how the the veil of incorporation can be problematic regarding property?
A
Macaura v Northern Assurance (1925)
3
Q
What happened in Macaura v Northern Assurance?
A
- Macaura owned almost all shares in timber company
- Insured timber in his name
- Later timer destroyed by fire and Macaura couldn’t claim insurance for company
4
Q
What are the first three consequences of a separate legal personality?
A
- company can sue/be sued
- company can be party to a contract
- company can commit a tort
5
Q
What are the second three consequences of a separate legal personality?
A
- company can be victim or tortious behaviour
- company has human rights
- company can commit a crime
6
Q
What are the final three consequences of a separate legal personality?
A
- company can be victim of crime
- company has perpetual existence until dissolved
- company has ‘owners’
