Practice point: A legitimate purpose of incorporating is to limit or
eliminate personal liability. However, the corporate form will be disregarded and the corporate veil pierced if necessary to prevent fraud or to achieve
equity, and a claim may be asserted against an individual who controls the corporation.
Student note: Piercing the corporate veil requires a showing that the
individual defendant exercised complete dominion and control over the
corporation and used such dominion and control to commit a fraud or
wrong against the plaintiff which resulted in injury.
Case: Bonacasa Realty Co., LLC v. Salvatore, NY Slip Op 05979 (2d Dept. 2013).
Here is the decision.
Tomorrow's issue: A medical malpractice action, proximate cause, and judgment as a matter of law.
