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1. In 2018, Parent Plc incorporated Tractors Ltd, to manufacture a new type of tractor Parent Plc wholly owns Tractors Ltd. Two days before Tractors

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1. In 2018, Parent Plc incorporated Tractors Ltd, to manufacture a new type of tractor Parent Plc wholly owns Tractors Ltd. Two days before Tractors Ltd was incorporated, Theresa, a director of Parent Plc, signed a lease for a factory that Tractors Ltd was to occupy. On the lease, above her signature, Theresa wrote 'signed for Tractors Ltd and without personal liability.' By December 2019, sales of the new tractors were very disappointing, and Tractors Lid was running at a substantial loss. Worse still, a number of employees of Tractors Ltd, including the production manager, John, had been severally injured as a result of the unsafe working practices that Tractors Ltd was using. Many of these working practices were designed by Parent Plc in an attempt to cut Tractors Ltd's production costs. 1. In 2018, Parent Plc incorporated Tractors Ltd, to manufacture a new type of tractor. Parent Plc wholly owns Tractors Ltd. Two days before Tractors Ltd was incorporated, Theresa, a director of Parent Plc, signed a lease for a factory that Tractors Ltd was to occupy. On the lease, above her signature, Theresa wrote 'signed for Tractors Ltd and without personal liability.' By December 2019, sales of the new tractors were very disappointing, and Tractors Lid was running at a substantial loss. Worse still, a number of employees of Tractors Ltd, including the production manager, John, had been severally injured as a result of the unsafe working practices that Tractors Ltd was using. Many of these working practices were designed by Parent Plc in an attempt to cut Tractors Ltd's production costs. Advise John who seeks compensation for his ill-health, and Theresa in the context of the separate entity rule. 1. In 2018, Parent Plc incorporated Tractors Ltd, to manufacture a new type of tractor Parent Plc wholly owns Tractors Ltd. Two days before Tractors Ltd was incorporated, Theresa, a director of Parent Plc, signed a lease for a factory that Tractors Ltd was to occupy. On the lease, above her signature, Theresa wrote 'signed for Tractors Ltd and without personal liability.' By December 2019, sales of the new tractors were very disappointing, and Tractors Lid was running at a substantial loss. Worse still, a number of employees of Tractors Ltd, including the production manager, John, had been severally injured as a result of the unsafe working practices that Tractors Ltd was using. Many of these working practices were designed by Parent Plc in an attempt to cut Tractors Ltd's production costs. 1. In 2018, Parent Plc incorporated Tractors Ltd, to manufacture a new type of tractor. Parent Plc wholly owns Tractors Ltd. Two days before Tractors Ltd was incorporated, Theresa, a director of Parent Plc, signed a lease for a factory that Tractors Ltd was to occupy. On the lease, above her signature, Theresa wrote 'signed for Tractors Ltd and without personal liability.' By December 2019, sales of the new tractors were very disappointing, and Tractors Lid was running at a substantial loss. Worse still, a number of employees of Tractors Ltd, including the production manager, John, had been severally injured as a result of the unsafe working practices that Tractors Ltd was using. Many of these working practices were designed by Parent Plc in an attempt to cut Tractors Ltd's production costs. Advise John who seeks compensation for his ill-health, and Theresa in the context of the separate entity rule

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