The Rights of Creditors of Affiliated Corporations

Abstract

(1) The parent company has advanced funds to its subsidiary in the form of a loan; if the subsidiary does not have enough assets to satisfy all of its creditors, should the parent be treated differently from other creditors? (2) If a subsidiary is unable to satisfy a creditor's claim out of its own assets, should the creditor be entitled to satisfy his claim out of the assets of the corporate parent (i.e., to pierce the corporate veil)? (3) If two affiliated corporations become bankrupt, should the assets of, and the claims against, the two corporations be pooled?

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 127 citations exist upstream.