Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

APEGS NPPE Exam - Topic 2 Question 12 Discussion

Directors and officers of a corporation cannot be held personally liable for
A) an unsecured corporate debt
B) fraudulent misrepresentation
C) unpaid employee wages
D) tax evasion

APEGS NPPE Exam - Topic 2 Question 12 Discussion

Actual exam question for APEGS's NPPE exam
Question #: 12
Topic #: 2
[All NPPE Questions]

Directors and officers of a corporation cannot be held personally liable for

Show Suggested Answer Hide Answer
Suggested Answer: A

NPPE materials explain the principle of corporate limited liability. Directors and officers are generally not personally liable for unsecured corporate debts, provided they act within their authority and without wrongdoing.

Options B, C, and D can result in personal liability under Canadian law, particularly where misconduct, statutory violations, or fraud are involved. Therefore, option A is correct.


Contribute your Thoughts:

0/2000 characters

Currently there are no comments in this discussion, be the first to comment!


Save Cancel