PJC Business 2024

P IERCING THE C ORPORATE V EIL

PJC 108.3

PJC 108.3 Instruction on Alter Ego PJC 108.3A Instruction on Alter Ego in Cases Governed by Tex. Bus. Orgs. Code § 21.223(a)(2) [ Name of corporation ] was organized and operated as a mere tool or busi ness conduit of Don Davis ; there was such unity between [ name of corpora tion ] and Don Davis that the separateness of [ name of corporation ] had ceased; and Don Davis caused [ name of corporation ] to be used for the purpose of per petrating and did perpetrate an actual fraud on Paul Payne primarily for the direct personal benefit of Don Davis . In deciding whether there was such unity between [ name of corporation ] and Don Davis that the separateness of [ name of corporation ] had ceased, you are to consider the total dealings of [ name of corporation ] and Don Davis , includ ing— 1. the degree to which [ name of corporation ]’s property had been kept separate from that of Don Davis ; 2. the amount of financial interest, ownership, and control Don Davis maintained over [ name of corporation ]; and 3. whether [ name of corporation ] had been used for personal purposes of Don Davis . [or] PJC 108.3B Instruction on Alter Ego in Cases Not Governed by Tex. Bus. Orgs. Code § 21.223(a)(2) [ Name of corporation ] was organized and operated as a mere tool or busi ness conduit of Don Davis ; there was such unity between [ name of corpora tion ] and Don Davis that the separateness of [ name of corporation ] had ceased; and holding only [ name of corporation ] responsible would result in injustice. In deciding whether there was such unity between [ name of corporation ] and Don Davis that the separateness of [ name of corporation ] had ceased, you are to consider the total dealings of [ name of corporation ] and Don Davis , includ ing— 1. the degree to which [ name of corporation ]’s property had been kept separate from that of Don Davis ;

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