The term 'Alter Ego' refers to a legal doctrine that allows courts to disregard the distinct legal identity of a corporation and hold its shareholders or directors personally liable for corporate actions.
Assumption of mortgage involves assuming the obligations of a mortgagor toward a mortgagee, usually as part of the purchase price of real estate. This entails the purchaser taking personal liability for the debt unless a novation releases the original borrower.
A dummy refers to an individual or entity that stands in place of the principal to a transaction, sometimes used to avoid personal liability.
Exculpatory pertains to evidence or statements that justify or excuse a defendant from alleged fault or guilt. It can also refer to clauses in financial and legal documents that release a party from liability.
In Personam (against the person) refers to legal actions directed towards an individual, based on personal liability and requiring the court to have jurisdiction over the defendant.
Personal liability refers to the legal obligation that exposes an individual's personal assets to potential claims. Corporate stockholders and limited partners generally avoid personal liability, while general partners incur personal liability.
An umbrella policy is an insurance policy providing additional liability coverage over and above the limits of a basic insurance liability policy. It is designed to provide extra protection.
An unincorporated association is a group of individuals who come together for a common purpose but do not form a corporation or any other legal entity. Their structure lacks a separate legal personality, meaning any legal actions must be taken against the individual members rather than the association itself.
