Under the Revised Model Business Corporation Act, If a Promoter

Multiple Choice

Under the Revised Model Business Corporation Act, if a promoter acts on behalf of a corporation knowing that incorporation has not yet been completed and liability occurs:

A) the corporation becomes liable once formed, with the promoter shielded from liability.
B) the principals of the forming corporation are liable, with the promoter shielded from liability.
C) the promoter is jointly and severally liable for the liability incurred even after the corporation is formed.
D) the promoter is personally liable, with the principals shielded from liability.