12:09
need to send in my berkeley app rawwwww
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LSDefine
Simple English definitions for legal terms
continuity-of-life doctrine
Read a random definition: Black Act
A quick definition of continuity-of-life doctrine:
The continuity-of-life doctrine is the idea that even if the owner of a company dies or can no longer run the company, the company still exists. It doesn't just disappear. This means that the company can continue to operate and do business even if something happens to the owner.
A more thorough explanation:
The continuity-of-life doctrine is a principle that states that the existence of an entity, such as a corporation, does not end with the withdrawal, incapacity, bankruptcy, or death of its owner. This means that the entity will continue to exist and operate even if its owner is no longer able to manage it.
For example, if the owner of a corporation passes away, the corporation will continue to exist and operate under the management of its board of directors. Similarly, if the owner of a sole proprietorship becomes incapacitated, the business can still continue to operate under the management of a designated representative.
Another example is if a partner in a partnership decides to withdraw from the business, the partnership can still continue to operate with the remaining partners.
These examples illustrate how the continuity-of-life doctrine ensures that businesses can continue to operate even in the face of unexpected events that may affect their owners.