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Business Organizations Law

Washington Law Review

1981

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Washington's Doctrine Of Corporate Disregard, Thomas V. Harris Mar 1981

Washington's Doctrine Of Corporate Disregard, Thomas V. Harris

Washington Law Review

Corporations are ordinarily recognized as legal entities separate and distinct both from their own shareholders, officers, and directors, and from other corporations. There are, however, situations in which the Washington courts will not recognize this separateness. In such cases, the shareholders, officers, directors, or even wholly separate corporations, are held responsible for the corporation's activities. When they have refused to recognize the corporation as a separate legal entity, Washington's courts have employed the "doctrine of disregard." The consequences of the doctrine are not borne by the corporation. Frequently, its underlying liability has already been established. In other cases, the corporation's …


Washington's Doctrine Of Corporate Disregard, Thomas V. Harris Mar 1981

Washington's Doctrine Of Corporate Disregard, Thomas V. Harris

Washington Law Review

Corporations are ordinarily recognized as legal entities separate and distinct both from their own shareholders, officers, and directors, and from other corporations. There are, however, situations in which the Washington courts will not recognize this separateness. In such cases, the shareholders, officers, directors, or even wholly separate corporations, are held responsible for the corporation's activities. When they have refused to recognize the corporation as a separate legal entity, Washington's courts have employed the "doctrine of disregard." The consequences of the doctrine are not borne by the corporation. Frequently, its underlying liability has already been established. In other cases, the corporation's …