please state the rule, law, statute, legal theory, or precedent that you used in arriving at your answer. You do not have to answer in complete sentences, but yes or no answers (without further elaboration) will receive no credit.

George tells everyone that he is the president and chief executive officer of the Bluth Corporation. George, however, never takes any steps to incorporate the Bluth Corp. One day, George takes out a bank loan on behalf of the Bluth Corp. and signs it "George Bluth, president and CEO of the Bluth Corp.". George later defaults on the loan the bank sues both George and the Bluth Corp. What is the likely result?