In October of 2021, as a result of the largest leak of documents in history, 11.9 million files from over 2.94 terabytes of data were publicly released by the International Consortium of Investigative Journalists [ICIJ].
Piercing the corporate veil may remind you of a line from Shakespeare, but in the realm of business law, it is closely related to corporate maintenance. Maintaining your corporation is one important way to protect assets from liability. The Burton Law Firm has years of applicable experience maintaining corporations, and we want to help you keep your business entity in order and in good standing.
The Burton Law Firm offers a corporate maintenance program designed to help corporate clients comply with annual meeting requirements, information statement filing requirements and basic corporate record keeping requirements. Our goal is to make it easy and convenient for our corporate clients to meet their annual corporate meeting obligations by providing reminder notices, drafting minutes, and providing follow-up attention. We can also assist with the filing of the annual information statement, which is necessary to keep the corporation in good standing.
In addition to satisfying the annual corporate law requirements, enrolling in our corporate maintenance program can provide other important benefits. For example, should the corporation be sued, a copy of the corporation’s minute book might be requested in the litigation process. Responding with current corporate records can help establish that proper formalities have been observed. This can help protect shareholders against creditors who seek to hold shareholders personally liable for corporate debts. Creditors often argue that a corporation is not genuine, and should be disregarded in an attempt to satisfy corporate debts and liabilities with the personal assets of the shareholders. This is what is known as piercing the corporate veil.
In business law, a corporation might experience a tax audit. Evidence of authorization for corporate transactions can assist in defending the corporation’s position before tax authorities. Finally, if the corporation becomes involved in a business transaction, such as negotiation for a sale, merger, or financing, then its minute book and stock records will likely be scrutinized. Your inability to provide potential business partners with complete, current corporate records in a timely manner might be viewed as a negative factor, and have a cooling effect on the transaction.
The Burton Law Firm is interested in the success of your business at all levels. Our entire philosophy is focused on the promotion economic success for your personal or business finances. We are in this business to help your business. Let us guide you through the process of corporate maintenance. Contact us today and schedule a time to talk with Jeb Burton your corporate legal adviser.