Do you recall what I am talking about ? He stated that debit would be absord by them which I thought was alittle crazy for them to do, maybe Steve S got paid well for doing it who knows we haven't seen or heard about them since it happened . Remember he and the company were to be building the network across the pond, so what has that yielded.
Yes it can be transfered to a specific company under a parent company. In the 70s a company called HK Porter did it to a company called Tidewater supply company which caused TW to go out of business ending liablity to HKP . Same principle when one wants to show a profit in one branch and a loss in another. It is all on how it was setup which we don't know and maybe that is why CC thought he had protected ENZC but then it was the handshake deals that came back and got him as we are seeing, no proof of what Harry did or didn't give away.
Sorry I put all this out , yes you are right about value , but what is value as of right now. .04 while SAGA is 11.+ for what
Parent subsidiary liability refers to the situation where a parent corporation can be held liable for the actions of its subsidiaries. However, determining liability depends on several considerations:
Relationship Between a Company and Its Subsidiary:
The extent of stock ownership by the parent company.
Whether the corporation acquired a new company or purchased existing shares in a company.
The level of independence maintained by the subsidiary.
The intentions of the parent company regarding control over board members, voting, and regulations.
Important Characteristics of a Parent-Subsidiary Relationship:
Subsidiary Independence: While the subsidiary remains an independent business, the parent company wields significant authority.
Parental Power: The parent company aims to maintain control while respecting the subsidiary’s independence. Clear bylaws and regulations help achieve this balance.
Liability: Independent subsidiaries can reduce the risk of liability for the parent company. Separate board members and distinct bylaws between businesses contribute to this separation1.
Liability When an LLC Is Sued:
Filing for a parent-subsidiary relationship can protect business owners from legal claims against limited liability businesses.
An LLC (Limited Liability Company) ensures that the business remains separate from its members, preventing personal lawsuits against them.
LLC subsidiaries, entirely or majority-owned by another parent company (either an LLC or a corporation), maintain their independence.
Although the parent company oversees day-to-day activities, the subsidiary is considered an independent entity12.
In summary, while parent companies generally are not automatically liable for their subsidiaries’ actions, specific circumstances and legal relationships play a crucial role in determining liability3.
Learn more:
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2. legalbeagle.com
3. nortonrosefulbright.com
4. bizfluent.com
5. fhnylaw.com
6. burges-salmon.com
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is a parent company liable for a subsidiary's actions?
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In most cases, a parent company is not automatically liable for the actions of its subsidiaries. However, the extent of liability depends on several considerations:
Relationship Between a Company and Its Subsidiary:
The parent company’s stock ownership in the subsidiary.
Whether the parent corporation acquired a new company or purchased existing shares.
The level of independence maintained by the subsidiary.
The intentions of the parent company regarding control over board members, voting, and regulations.
Important Characteristics of a Parent-Subsidiary Relationship:
Subsidiary Independence: While the subsidiary remains an independent business, the parent company wields significant authority.
Parental Power: The parent company aims to maintain control while respecting the subsidiary’s independence. Clear bylaws and regulations help achieve this balance.
Liability: Independent subsidiaries can reduce the risk of liability for the parent company. Separate board members and distinct bylaws between businesses contribute to this separation1.
Liability When an LLC Is Sued:
Filing for a parent-subsidiary relationship can protect business owners from legal claims against limited liability businesses.
An LLC (Limited Liability Company) ensures that the business remains separate from its members, preventing personal lawsuits against them.
LLC subsidiaries, entirely or majority-owned by another parent company (either an LLC or a corporation), maintain their independence.
Although the parent company oversees day-to-day activities, the subsidiary is considered an independent entity1 .
Therefore, while there is no automatic liability, specific circumstances and legal relationships play a crucial role in determining whether a parent company is liable for its subsidiary’s actions
