Management and Organizational Studies 2275A/B Lecture Notes - Lecture 6: Accounts Receivable, Social Purpose Corporation, Low-Profit Limited Liability Company

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2275A/B
• Professor: Philip King

Document Summary

Corporations: separate legal person, being, in eyes of law is a person, (cid:271)/(cid:272) it"s a diffe(cid:396)ent pe(cid:396)son than people (cid:449)ho o(cid:449)n it a(cid:396)e not lia(cid:271)le fo(cid:396) it, corporations never die. A corporation is a separate legal entity. For legal purposes, a corporation is a person. Business corporations: carried on for profit. Charitable corporations: subset for non for profit, registered with cra to give out charitable tax receipts, not all non for profit are charitable corporations. Hospitals, universities, cities: non for profit. Abc company limited: land, buildings, accounts receivable, inventory, equipment, supplies. Directors appoint officers: directors elected by shareholders, officers appointed by directors, through contract with a corporation. They are three different capacities but people can occupy more than one position. What duties do the directors and officers owe to the corporation: fiduciary duty. B/c agents: duty of care (duty of competence) Making sure you are in the right through out your actions. Is a defence to negligence: contractual duty.