What is corporate veil ?

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1. 
   

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   Here is a good, simple definition of “corporate Veil” and its legal implications:

   Definition
   “A legal concept that separates the personality of a corporation from the personalities of its shareholders, and protects them from being personally liable for the company’s debts and other obligations. This protection is not ironclad or impenetrable. Where a court determines that a company’s business was not conducted in accordance with the provisions of corporate legislation (or that it was just a façade for illegal activities) it may hold the shareholders personally liable for the company’s obligations under the legal concept of lifting the corporate veil.”

   http://www.businessdictionary.com/definition/corporate-veil.html

   Answer by Claire M 224 days ago

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   Corporate veil means that in the eyes of law a company is a separate legal person. It has its own personality. Company has its own common seal which is to be put on every agreement with the company to make it valid. Common seal is worked as same as signature of a human being. As company is an artificial person it does not have signature of its own hence a common seal is made to fulfill that purpose. A company has provided the fundamental rights but not the citizenship rights as a artificial person.

   Answer by iqrakhalid 223 days ago