Question

What is a corporation by estoppel. Give an example. (business law)

PLEASE ANSWER ASAPP

Answer 1

The corporation by estoppel is used as defense by a individual who have founded a corporation in defective format . in such cases when corporation enters into a contract the other parties may attempt to to enforce the contract against the people of corporation on the ground that no corporation existed at the time of contract was made , the corporation of estoppel says third party dealing with defective corporation as if it was a properly formed corporation are stooped from denying the organization validity

For Example:

There may be the situation where non existent corporation deemed to be existed, when it happens it has legal right to bring on that contract according to doctrine of incorporation by estoppel. Parties enter into contract on the on the trust that they are dealing with proper legally formed entity may not avoid responding to the contract on the ground the entity did not exist when the contract were made.

The decision in the hand of court that whether the doctrine applies base on fairness

Example of a court case is Boslow Family Ltd. Partnership vs Glickenhaus & Co