Chapter 41 - History and nature of corporations. After completing this unit, you should be able to: Discuss the history of corporations, recognize the types of corporations, understand state regulation of foreign and alien corporations, describe how to pierce the corporate veil. | Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin 10 History and Nature of Corporations Organization and Financial Structure of Corporations Management of Corporations Shareholders’ Rights and Liabilities Securities Regulation Legal and Professional Responsibilities of Auditors, Consultants, and Securities Professionals Corporations P A R T History and Nature of Corporations P A E T R H C 41 In every era, society must strike the right balance between the freedom businesses need to compete for a market share and to make profits and the preservation of family and community values. Hillary Clinton, in It Takes a Village (1996) Learning Objectives Discuss the history of corporations Recognize the types of corporations Understand state regulation of foreign and alien corporations Describe how to pierce the corporate veil By purpose, as for-profit or not-for-profit By ownership, as publicly held, close, or government-owned corporations By . | Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin 10 History and Nature of Corporations Organization and Financial Structure of Corporations Management of Corporations Shareholders’ Rights and Liabilities Securities Regulation Legal and Professional Responsibilities of Auditors, Consultants, and Securities Professionals Corporations P A R T History and Nature of Corporations P A E T R H C 41 In every era, society must strike the right balance between the freedom businesses need to compete for a market share and to make profits and the preservation of family and community values. Hillary Clinton, in It Takes a Village (1996) Learning Objectives Discuss the history of corporations Recognize the types of corporations Understand state regulation of foreign and alien corporations Describe how to pierce the corporate veil By purpose, as for-profit or not-for-profit By ownership, as publicly held, close, or government-owned corporations By origin. A company is: Domestic in its incorporation state Foreign in all other states in which it operates Alien in all countries other than the country in which it incorporated Classes of . Corporations Under the Commerce Clause of the . Constitution, the federal government has power to regulate interstate commerce Article 1, Section 8, Clause 3: “The Congress shall have Power To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes” Federal Regulation of Firms A state law that regulates business activities is constitutional (., does not unduly burden interstate commerce) if: It serves a legitimate state interest It is the least burdensome means of promoting that interest, That legitimate state interest outweighs the burden on interstate commerce Federal Regulation of Firms In the ., states regulate how a corporation is created and operated Generally follows Model Business Corporation Act (MBCA) or Model Nonprofit .
