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Fernanda and Jack open their business and nd a cream cheese supplier, Samuelson Dairy. Inc. Their relationship with Samuelson Dairy, Inc. is great at rst;
Fernanda and Jack open their business and nd a cream cheese supplier, Samuelson Dairy. Inc. Their relationship with Samuelson Dairy, Inc. is great at rst; the cream cheese is of good quality and is delivered according to their contract. However, after a few months, Samuelson Dairy, Inc. starts providing deliveries later and later and is eventually unable to deliver any cream cheese at all. Unfortunately, Fernanda and Jack have already paid Samuelson Dairy, Inc. for the cream cheese that has not been delivered. Samuelson Dairy, Inc. is incorporated as a C corporation with Sam Samuelson and his wife as the sole shareholders and the directors and ofcers of the corporation. Sam and his wife have held two annual meetings over the last eight years and do not keep current minutes for the corporation. Samuelson Dairy, Inc's bank account rarely has a positive balance, most of the corporation's expenses are paid from Sam and his wife's personal bank account, and the corporation owns no assets because all assets are held in Sam and his wife's names. Fernanda and Jack le a lawsuit for breach of contract against Samuelson Dairy, Inc., and against Sam Samuelson and his wife as individuals. Do you think Fernanda and Jack will be successful holding Sam Samuelson and his wife personally liable? Whyr or why not
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