Corporate Veil Service

"Piercing the corporate veil has become the most litigated issue in corporate law today.  In every case, the plaintiff's intent is to acquire not only the company's assets, but the owner's personal assets as well.  And at least half of them will win."
- Wake Forest Law Review

When a business operates as a corporation chartered under state law, the corporation is supposed to act as a buffer between its creditors and claimants, and its shareholders and directors.  This is called the "Corporate Veil".  However, in many cases claimants sue not only the corporation, but also its shareholders and directors.  This happens most frequently with corporations having few shareholders.  The most common allegation is that the corporation is simply an "alter ego" of its shareholders and directors.

Because claimants have so much to win, attempts to pierce the corporate veil are frequent.  More and more frequently, the courts are allowing the corporate veil to be pierced.

Some of the reasons why claimants are successful in piercing the corporate veil include:
            - The corporation is no longer in good standing
            - It has no registered agent
            - It has not issued stock
            - It has no By-laws
            - It has no minutes of shareholder and board of director meetings
            - It has insufficient assets to conduct its business
            - It has failed to file required state reports
            - It has failed to maintain proper accounting records or file appropriate tax returns
            - Personal expenses of the owners and directors are paid out of the corporation
            - The enterprise appears to be doing business as a partnership or sole proprietorship
            - Licenses are in individual's names instead of the corporation's
            - Owners are using the corporation in an abusive manner
            - In general, the shareholders and directors are not respecting the corporate structure

We can help small corporations deal with this problem.  We call it the "Corporate Veil Service".  Subscribers to our Corporate Veil Service receive the following:
            - We prepare By-Laws for the corporation
            - We issue stock certificates to the shareholders
            - We act as the corporation's registered agent, if it is chartered in Utah
            - We file the annual report and pay the fee, if the corporation is chartered in Utah
            - We send you an annual "Corporate Activity Checklist"
            - We prepare annual minutes of shareholders and directors
            - We maintain the corporation's stock ledger
            - We provide an annual Corporate Veil checklist

The fee for our "Corporate Veil Service" is $395 per corporation per year. 

To subscribe to this service using any major credit card, click here:  

or mail in our printable order form, call us, or email us with your company's name and address.