In Gilford Motor Co. Ltd. v Horne, the corporate veil was lifted to prevent:
In Gilford Motor Co. Ltd. v Horne, the court lifted the veil because the company was "a mere cloak or sham" used by Horne to evade his restrictive covenant, that is, to…
Choose your answer
In Gilford Motor Co. Ltd. v Horne, the corporate veil was lifted to prevent:
Answer and explanation
Correct answer B
In Gilford Motor Co. Ltd. v Horne, the court lifted the veil because the company was "a mere cloak or sham" used by Horne to evade his restrictive covenant, that is, to prevent fraud or improper conduct. It had nothing to do with share transfers, winding up or reduction of capital.
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