Piercing the Corporate Veil Essay -- Papers

Piercing the Corporate Veil Since the establishment in Salomon v Salomon, the separate legal personality has been long recognised in English law for centuries, that is to say, a limited liability beau monde has its own legal individualism distinct from its shareholders or directors. However, in certain circumstances the courts may be prepared to look behind the company at the actions of the directors and shareholders. This is known as sharp-worded the corporate veil. There are numerous cases concerning the piercing the corporate veil, among which, Jones v Lipman1 was a typical case. Lipman sold land to Jones by a written contract but refused to complete the sale because of another good deal, instead he offered damages for b pay of contract. To put the house out of reach of Jones, he bought a company off the shelf and conveyed the house to it. In an action against Lipman and the company, the court granted the specific performance and ruled that the de fendant company is the creature of the first defendant, a device and ...