lifting the veil definition
lifting the veil means the power which the court has where the shareholders or directors of the company in question or a person in a similar position have used their business to defraud creditors of the business or to do some other wrongful or illegal act, and the court ignores the protection from
lifting the veil means the power which the court has where the shareholders or directors of the company in question or a person in a similar position have used their business to defraud creditors of the business or to do some other wrongful or illegal act, and the court ignores the protection from liability offered by the corporation or limited liability status of the business and makes the shareholders or directors or other person personally liable for debts, liabilities and obligations of the company;
lifting the veil means looking behind the company as a legal person, i.e., disregarding the corporate entity and paying regard, instead, to the realities behind the legal facade. Where the Courts ignore the company and concern themselves directly with the members or managers, the corporate veil may be said to have been lifted. Only in appropriate circumstances, the Courts are willing to lift the corporate veil and that too, when questions of control are involved rather than merely a question of ownership.
More Definitions of lifting the veil
lifting the veil means the power of the court to ignore the protection from liability offered by the corporate status of the company and make the shareholders, directors or other officers personally liable for debts, liabilities and obligations of the company, where the shareholders, directors or such other officers of the company in question or a person in a similar position have used the business to defraud creditors of the company or to do some other wrongful or illegal act;