New Hampshire Jury Instruction - 1.9.5.1 Corporation As Alter Ego Of Stockholder
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FAQ
The Alter Ego Doctrine New York courts may permit the piercing of the corporate veil between affiliated or subsidiary corporations in instances where the dominant or parent corporation uses the subservient corporation to engage in wrongful conduct.
Alter ego is a legal doctrine whereby the court finds that a corporation lacks a separate identity from an individual or corporate shareholder. The court applies this rule to ignore the corporate status of a group of stockholders, officers, and directors of a corporation with respect to their limited liability.
Many federal circuits have pattern jury instructions formulated by committees of judges and practitioners and approved by the circuit for use in criminal cases.
Defendants claim that alter ego liability is a question of law that the Court must determine. Plaintiffs claim just the opposite; that alter ego liability is a matter of fact, to be resolved by the trier of fact: the jury.
The alter ego test encompasses a host of factors: Listed as follows: Commingling of funds and other assets, failure to segregate funds of the separate entities and the unauthorized diversion of corporate funds or assets to other than corporate uses.
Jury instructions are instructions for jury deliberation that are written by the judge and given to the jury. At trial, jury deliberation occurs after evidence is presented and closing arguments are made.
The Alter Ego Doctrine was designed to be an equitable remedy and to prevent injustice. The Alter Ego Doctrine examines specific facts and is implemented on a case-by-case basis. The Alter Ego Doctrine is a two-prong test, and both prongs must be met to successfully pierce an entity's veil.
Alter ego refers not to a cause of action, but generally to a liability doctrine where an owner of a company can be held responsible for certain debts of the company.