
Corporate formalities
Although TBOC §21.223(a)(3) expressly eliminates the “failure to follow corporate formalities” commonly pointed to in historical veil piercing law, it is still best practice to follow corporate formalities to avoid failure to do so being pointed to as part of an alleged actual fraud. Further, if multiple entities are oned, it is best practice to avoid undocumented transfers between the entities, sharing employees and the same accounting system, one entity paying the wages of the other entity, and unclear allocation of profit and loss between the entities.Veil piercing based on the Texas Tax Code
Texas Tax Code § 171.255 establishes that directors, officers, and managers of a filing entity have personal liability for the debts of the entity when the filing entity privileges are forfeited for failing to timely file a report or pay a tax or penalty. The time period of personal liability exposure extends from the date the report, tax, or penalty becomes due until the entity privileges are revived. [disclaimer] Although I am an attorney, the legal information in this blog entry is not intended to be a substitute for seeking personalized legal advice from an attorney licensed to practice in your jurisdiction. Further, I do not intend to create an attorney-client relationship with any reader. This Blog/Website is made available by Waldron & Schneider for educational purposes only as well as to provide general information and a general understanding of the law, not to provide specific legal advice. By using this blog site you understand that there is no attorney client relationship between you and Waldron & Schneider. The Blog/Website should not be used as a substitute for competent legal advice from a licensed professional attorney in your jurisdiction.Throw back Thursday. In 1998, the attorneys and staff of Waldron & Schneider broke ground at the current location. ... See MoreSee Less
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I remember that! Loved working there ❤️
I've never seen this before!
Makes me sad. But love it
Randy and Robbye ❤️
Oh wow!
Partner Kimberly Bartley writes about why a business may need a risk assessment policy in her blog.
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Why do I need a Risk Assessment Policy?
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Risk Assessment Policies are a great tool to help business define areas of risk or vulnerability, both to their staff and customers.Partner Richard Simmons with his wife Jennifer and State Rep. Dennis Paul at the Space Center Rotary LEAP awards ... See MoreSee Less
Congratulations to partner Richard Simmons’ son Jacob and the Lakers for winning the Clear Lake Boys Basketball 2023 Championship. ... See MoreSee Less
Associate Attorney Shawn Williamson and his wife Kim Williamson attended the Economic Alliance Houston Port Region Annual Membership Banquet with Royal Harbor Partners Wealth Management Firm. The Economic Alliance brings together the industries main players and members of the Economic Alliance. Waldron and Schneider was honored represent the firm and it's commitment to the local economy and its businesses, small and large. ... See MoreSee Less