4 ms·

So the founders are personally responsible for the actions of their corporation?

• westicle 13y ago
  No, the founders are personally responsible for their own actions. The corporate veil may protect them from liabilities of the company (barring fraud/breach of directors' duties), however in this particular instance we have a founder, Rob Rhinehart, who seems to have done most of his marketing and made most of his claims personally. That is, Rob, not Soylent Nominees Ltd, made the statements. Therefore, if he has breached laws, civil penalty provisions or acted negligently in doing so, he is personally liable. Source: I recently acted for a home owner who sued her (incorporated) builder in negligence (for building a house which fell down). The company was unfortunately insolvent. Luckily, the founder/director of the company made a number of claims about the expertise and abilities of the building company on the company website (which he hosted personally). We sued the director personally.