Separate Legal Personality Flashcards
Salomon v A Salomon
The companies act 1862 provided tha holding one share was sufficient to constitute a shareholder. A trader had therefore been entitled to sell his business to a limited company consisting of himself and six members of his family who held one share each and it was irreverent if these shareholders were mere dummies because once a company had been legally incorporated, it had to be treated as a distinct legal persona.
VTB Capital v Nutritek International Corp
It was not appropriate to pierce the corporate veil to allow the claimant bank to pursue a contractual claim against the person alleged to be controlling the defendant companies.
Macaura v Northern Assurance Ltd
Neither a simple creditor nor a shareholder in a company had any insurance interest in a particular asset held by the company.
Lee v Lee’s Air Farming
Where the governing director of a company is also its controlling shareholder he may also be employed as its servant and therefore a ‘worker’ within New Zealand law. The controlling shareholder of a company whose object was the business of aerial top-dressing of crops was also it’s governing director and was employed by the company as its chief pilot at a salary. Held, he was a person who had entered into or worked under a contract within the meaning of the Act.
