Practice question
An entity is formed under another country’s law and the Section140 reciprocity condition is satisfied. All shareholders happen to be Filipino. Does their citizenship alone convert the entity into a Philippine-formed corporation?
- No; the stipulated foreign formation law remains material
- Yes; ownership automatically replaces the legal formation framework
- Yes; the articles of incorporation become Philippine legislation
- Yes; the shareholders may ignore the place’s law
- Yes; a local mailing address is conclusive
Legal references
- RA11232 Revised Corporation Code: https://lawphil.net/statutes/repacts/ra2019/ra_11232_2019.html Sections87,107–108,116 and140.
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