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Lee decided to incorporate a business under the name yStar Inc. Before yStar was incorporated, Lee signed a contract in the name of yStar Inc.

Lee decided to incorporate a business under the name yStar Inc. Before yStar was incorporated, Lee signed a contract in the name of yStar Inc. to have some office space remodeled. Which of the following statements is correct?

a.

yStar is liable on the contract because the contract was signed in its name.

b.

yStar becomes liable on the contract as soon as it is incorporated.

c.

yStar is liable on the contract if the contractor knows that the corporation does not yet exist.

d.

yStar will be liable on the contract only if the corporation adopts the contract.

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