Discuss the circumstances under which a corporate veil or incorporation may be lifted.

These are qualifications or modifications to the rule in Salomon‟s case often referred to as “piercing the corporate shell.” The veil of incorporation may be lifted the courts or at common law and the legislature.

• Statutory or Parliamentary exceptions
Reduction of number of members
 Non-publication or misdescription of the company‟s name
 Group accounts
 Investigation of company affairs
 Investigation of company membership
 Take over bids
 Fraudulent trading
• Judicial or Common Law exceptions
 Agency or nominee or trustee
 Group enterprises
 Ratification of corporate acts
 Determination of residence
 Determination of character
 Fraud or improper conduct.

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