Questions from Business Law

Q: The sole shareholder of an S corporation should never be able to

The sole shareholder of an S corporation should never be able to avoid liability for the torts of her or his employees.

Q: Because most shareholders never bother to vote for directors, shareholders have

Because most shareholders never bother to vote for directors, shareholders have no real control over corporations.

Q: Corporate law should be altered to prohibit incumbent management from using most

Corporate law should be altered to prohibit incumbent management from using most of the legal methods available for fighting takeovers.

Q: Shane Durbin wanted to have a recording studio custom-built in

Shane Durbin wanted to have a recording studio custom-built in his home. He sent invitations to a number of local contractors to submit bids on the project. Rory Amstel submitted the lowest bid, which...

Q: Air Ruidoso, Ltd., operated a commuter airline and air charter

Air Ruidoso, Ltd., operated a commuter airline and air charter service between Ruidoso, New Mexico, and airports in Albuquerque and El Paso. Executive Aviation Center, Inc., provided services for airl...

Q: John operates a motorcycle repair shop from his home but finds that

John operates a motorcycle repair shop from his home but finds that his business is limited by the small size of his garage. Driving by a neighbor’s property, he notices a for-sale sign on a large, me...

Q: Assume that the Securities and Exchange Commission (SEC) has a

Assume that the Securities and Exchange Commission (SEC) has a rule that it will enforce statutory provisions prohibiting insider trading only when the insiders make monetary profits for themselves. T...

Q: Ronald Metzgar placed his fifteen-month-old son, Matthew

Ronald Metzgar placed his fifteen-month-old son, Matthew, awake and healthy, in his playpen. Ronald left the room for five minutes and on his return found Matthew lifeless. A toy block had lodged in t...

Q: Renee Beaver started racing go-karts competitively in 2016, when

Renee Beaver started racing go-karts competitively in 2016, when she was fourteen. Many of the races required her to sign an exculpatory clause to participate, which she or her parents regularly signe...

Q: David Brock was on the board of directors of Firm Body Fitness

David Brock was on the board of directors of Firm Body Fitness, Inc., which owned a string of fitness clubs in New Mexico. Brock owned 15 percent of the Firm Body stock and was also employed as a tann...