Bobby Corps Short Outline

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I. Forming the Corporation A. Articles (6) B. Bylaws C. Ultra Vires (4) II. Promoter Liability A. Definition of Promoter B. General Rule C. Who brings the COA? D. Avoiding Liability III. Defective Incorporation A. Definition B. MBCA C. Non-MBCA IV. Piercing the Corporate Veil A. Equity B. Lack of observance of corporate formalities C. Lack of adequate capital D. Tort v. Contract E. Effect in Jurisdiction V. § 5 SEC Act of 1933 A. General Rule B. Investment Contract (3) 1. Elements 2. Remedy 3. Defense VI. Capitalization A. Lack of Adequate Consideration (3) 1. Qualitative Test 2. Quantitative Test 3. Name the stock 1. UV 2. Pre-incorp promoter liability 3. Defective incorporation 4. Piercing the corporate veil 5. Investment K 6. Lack of Adequate Consideration 7. Motion to Compel Dividend 8. Legality of Distribution 9. Shareholder Actions a. meeting b. written consent c. voting agreements 10. Share Restrictions 11. Director Actions a. meeting b. written consent c. telephone call d. michshaw 12. Officer Actions 13. Share Restrictions 14. Invalid Proxy 15. 14(a)(9) 16. 14(a)(8) 17. Due Care 18. Good Faith 19. Loyalty 20. 10(b)(5) Insider Trading 21. Misappropriation VII. Dividends A. Motion to Compel Dividend / Lack of Dividend Payout (2) 1. Closely Held Corporation 2. Publicly Held Corporation VIII. Legality of Distribution A. Definitions B. Dividend C. Redemption D. Repurchase IX. Management A. Statutory Closely Held Corp v. Common Law Closely Held Corp (4) B. Shareholder Rights (3) C. Additional Optional Shareholder Rights (4) D. Shareholder Matters 1. Matters 2. Voting Types 3. Valid Vote a. elements b. Unanimous written consent c. Voting agreements E. Share Restrictions F. Director Matters 1. Elements 2. Unanimous written consent 3. Telephonic conference 4. Michshaw Exception G. Officer Matters H. Vacancies X. Invalid Proxy XI. 14(a) Causes of Actoin 1. 14(a)(9) 2. 14(a)(8) XII. Due Care XIII. Good Faith XIV. Loyalty 1. Self Dealing Transactions 2. Parent Subsidiary Non Merger Transaction 3. Parent Subsidiary Merger Transaction 4. Usurpation of Corporate Opportunity 5. Target Company Director’s Responsibilities in a Takeover Situation 6. Duty to Auction XV. Insider Trading XVI. Misappropriation Theory

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