Practice question
Does purchasing another corporation’s assets invariably mean assuming all its debts under the Nell rule?
- No; the general rule has specified exceptions
- Yes; every asset sale transfers every debt automatically
- Yes; no exception analysis is permitted
- Yes; a buyer always becomes every seller employee’s employer
- Yes; the seller’s title alone conclusively decides all liabilities
Legal references
- Maricalum Mining v Florentino GR221813 July23,2018 MAIN: https://lawphil.net/judjuris/juri2018/jul2018/gr_221813_2018.html Transaction-specific domination and Nell asset-transfer exceptions.
- Kukan International v Reyes GR182729 September29,2010 MAIN: https://lawphil.net/judjuris/juri2010/sep2010/gr_182729_2010.html Jurisdiction and due process distinct from veil-piercing liability.
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