If a state offers a granted privilege, like accountant-client privilege then the federal
courts in that jurisdiction will also allow that privilege.
A majority of the members of an LLC must agree for a plan to merger.
The most important elements for violation of Rule 10b-5 of the 1933 Securities Act are
misstatement or omission of material fact and negligence.
Mr. Blue is a very good accountant at Supermart Inc. Mr. Blue acts with great care and
accuracy. But with changing laws and various inaccurate information provided to him
by other employees, Mr. Blue is responsible for a Supermart Inc. owing the IRS
$50,000. The CEO of Supermart Inc. wants to discharge and sue Mr. Blue for failure to
excise professional care (i.e., professional negligence). Mr. Blue based on facts is liable
for professional negligence and can be discharged and sued for the mistake.
An agent who is aware that the principal does not properly exist under the law, but
continues to act in their name is personal liable to all third party individuals for
transactions that occur.
Lakeland Bank certifies a check that subsequently is cashed by Pine Federal Credit
Union. Pine Federal Credit Union is not liable for any damages associated with the
check.
The U.S. Constitution gives the federal government to regulate business activity that
occurs across state lines.
A proxy is appointed by the corporation to discuss corporate matters with the public.
LLP partners are personally liable for the actions of the business.
Boston Bank receives one of their payable checks made to the order of the Same Sex
Alliance organization of Massachusetts for $1000. The check comes from a valid
account and there are funds in that account to cover the check. The CEO of Boston
Bank does not agree with the mission of the Same Sex Alliance so Boston Bank refuses
to honor the check. Boston Bank is within its power as a bank to do this.