What Is “Piercing The Corporate Veil”?

This is when somebody sues the company and also wants to make the owner(s) personally liable.  But a corporation (S Corp., C corp. or LLC) is specifically designed to prevent that.  So they have to “pierce” the protection.  Different states have different standards for what you have to do to pierce the protection offered by the corporation (or LLC) form of business.  So check carefully.

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