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Flashcards in BUS Structure And Other Law Deck (6)
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1
Q

What is joint venture?

A

Joint venture is formed for a single business undertaking such as building and designing freight containers to be sold specifically to one company.

2
Q

3 exception that might hold shareholders of a Crop personally liable:

A

Commingle personal funds, inadequate capitalization, and committing fraud on existing creditor

3
Q

ULTRAMARES RULE?

A

It normally allows recovery by 3rd party ONLY if there was privity of contract btw the accountant and 3rd party.

4
Q

What would support a finding of constructive fault?

A

Gross negligence/recklessness in applying GASS

5
Q

Main provisions of FCPA (Foreign corruption practice act of 1977) ?

A
  1. Address accounting transparency requirements under Securities exchange act of 1934 (not just about foreign issue) – effect only SEC-registered CO.
  2. Bribery of foreign officials. – effect all U.S. Company
6
Q

ERISA’s vesting policy, $ contributed to a pension plan must fully vest within?

A

Employee contributed—fully vested IMMEDIATELY

Employer contributed—fully vested within 5 yrs