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I was under the impression that one of the key reasons for corporate personhood was explicitly to shield the owner from civil and criminal accountability. Gran
by atmavatar 2mo ago
I was under the impression that one of the key reasons for corporate personhood was explicitly to shield the owner from civil and criminal accountability.
Granted, in extreme cases, there are still ways to pierce the corporate veil and imprison executives for criminal wrongdoing, but that's exceedingly rare.
- hash872 2mo agoIt's really not that rare for smaller companies. Every two-bit contractor, small landlord who thinks he's smart because he put his properties in an LLC etc. undoubtedly violates the corporate/personal distinction by comingling funds. If an attorney wants to sue Joe The Local Incorporated Contractor, or Alice The Local Slumlord, first thing they're going to do is discovery through a bunch of corporate records- they'll easily find that the owner is mixing personal & corporate cash, credit cards, etc. Takes a good lawyer about 10 minutes
- lokar 2mo agoI think you are conflating corporation with limited liability. Corporations are “people” because they are associations of people. Most of the rights you have as a person also apply to groups of people (for good reasons). Limited liability is a more simple trade off. They allow for large scale enterprises (generally corporations), as without limited liability if would be too risky.