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Aspiring Lawyers - Applications & General Advice
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Company Law - Challenges of Limited Liability
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<blockquote data-quote="m24" data-source="post: 10749" data-attributes="member: 1158"><p>Hello!</p><p></p><p>I wouldn't normally ask for help on a uni assignment, but I'm quite stumped on this one so any general advice would be much appreciated.</p><p></p><p>I also figure this is one of the most concentrated communities of students who are likely to be studying or have studied company law!</p><p></p><p>I'm faced with an essay question which reads as follows:</p><p></p><p><strong>“The idea of limited liability presents different challenges for equity investors and company creditors”.</strong></p><p><strong></strong></p><p><strong>Critically assess the methods English law has developed in dealing with these challenges.</strong></p><p></p><p>Quite simply, I've written most of my essay in reference to the principles of separate corporate personality and the circumstances in which the corporate veil may be lifted. However, I've really struggled to see what challenges, if any, equity investors may be faced with from this perspective.</p><p></p><p>This has led me to begin questioning whether I'm completely misunderstanding the question and I should actually be looking at limited liability in the context of disclosure obligations, security, indemnity and insolvency law.</p><p></p><p>Obviously, this would be an entirely different essay (cue mental breakdown).</p><p></p><p>Any ideas or help clarifying this would be greatly appreciated!</p></blockquote><p></p>
[QUOTE="m24, post: 10749, member: 1158"] Hello! I wouldn't normally ask for help on a uni assignment, but I'm quite stumped on this one so any general advice would be much appreciated. I also figure this is one of the most concentrated communities of students who are likely to be studying or have studied company law! I'm faced with an essay question which reads as follows: [B]“The idea of limited liability presents different challenges for equity investors and company creditors”. Critically assess the methods English law has developed in dealing with these challenges.[/B] Quite simply, I've written most of my essay in reference to the principles of separate corporate personality and the circumstances in which the corporate veil may be lifted. However, I've really struggled to see what challenges, if any, equity investors may be faced with from this perspective. This has led me to begin questioning whether I'm completely misunderstanding the question and I should actually be looking at limited liability in the context of disclosure obligations, security, indemnity and insolvency law. Obviously, this would be an entirely different essay (cue mental breakdown). Any ideas or help clarifying this would be greatly appreciated! [/QUOTE]
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