"In comparing partnerships and corporations, there is one additional factor that ordinarily tips the balance in favor of incorporating: the corporation is a legal entity in its own right, one that can provide a "veil" that protects its shareholders from personal liability."

• What does it mean to say that shareholders of corporations have limited liability?
• What does it mean to say that general partners have unlimited liability?
• What is meant by the legal concept of "piercing the corporate veil"?
  • Please identify at least 2 factors that can lead to the "piercing of the corporate veil."