Practice question
A corporation claims Section2 permits it to exercise any power its officers find profitable, even where the power is neither authorized by law nor incidental to its existence. It relies exclusively on being an artificial being. Which conclusion is sound?
- Profitability is the only legal test.
- The statutory definition does not support an unlimited power claim.
- All officers become lawmakers when appointed.
- Artificial personality makes every act lawful.
- An advertisement supplies the missing legal authorization.
Legal references
- RA11232, Revised Corporation Code, Sections2–4 and86–87: https://lawphil.net/statutes/repacts/ra2019/ra_11232_2019.html
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