Piercing the Corporate Veil Essay -- Papers

Piercing the Corporate cloud Since the establishment in Salomon v Salomon, the separate legal personality has been longsighted recognised in English law for centuries, that is to say, a limited financial obligation company has its own legal identity distinct from its shareholders or directors. However, in certain circumstances the courts may be prepared to look loafer the company at the actions of the directors and shareholders. This is known as piercing the corporate veil. There are numerous cases concerning the piercing the corporate veil, among which, Jones v Lipman1 was a typical case. Lipman sold land to Jones by a pen contract but refused to complete the sale because of another good deal, sooner he offered damages for b sink in of contract. To put the house out of reach of Jones, he bought a company off the shelf and conveyed the house to it. In an action against Lipman and the company, the court granted the specific performance and ruled t hat the defendant company is the creature of the first defendant, a device and ...