In a unanimous decision, the Texas Supreme Court slammed the door on using the single-business enterprise theory to impose one corporation's liability on an affiliated corporation. Michael A. Choyke, an attorney representing one of the parties in the case, says that while some Texas appellate courts have articulated a single-business enterprise theory for liability, no one has known under what circumstances that theory could be used.
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Texas Supreme Court Rejects Single-Business Enterprise Theory
Texas Lawyer
November 24, 2008
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