• UnderpantsWeevil
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    19 hours ago

    Corporations exist solely for purposes of legally distinguishing the conduct of business from the actions of individual shareholders of that business.

    Which has, itself, not worked out so good. Shareholders and managers hiding behind the corporate veil have done irreparable harm.

    • Rivalarrival@lemmy.today
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      17 hours ago

      The alternative is that when your co-worker goes on vacation, gets in a car wreck three states away, and the victim’s family takes your house in compensation.

      What I just described is the liability structure of a partnership, absent any remnant of the “corporate veil”. Liability flows from your partner through the partnership and back to you. It is the corporate veil that isolates the company from the personal actions of its employees, and the employees from the business operations of the company.

      There’s a little more nuance.

      • UnderpantsWeevil
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        7 hours ago

        The alternative is that when your co-worker goes on vacation, gets in a car wreck three states away, and the victim’s family takes your house in compensation.

        That doesn’t logically follow at all.

        What I just described is the liability structure of a partnership

        You do not have claim on someone’s house because of an uninsured motorist claim on a business partner on vacation.