Q.1 Critically discuss the following statement:

In the case of Adams v Cape Industries Plc [1990], the courts established a restrictive approach to when the veil of incorporation can be pierced. (25 marks)

Q.2

Terry and his wife Helen are owed 225,000 by a company called LongLife Solutions Ltd. LongLife Solutions Ltd has refused to pay the money owed and Terry and Helen have initiated a court action to recover the monies outstanding to them. Forever Well PLC is the parent company of LongLife Solutions Ltd and has recently been advised by its accountants that it could reduce its tax liability for the year 2021-2022 by removing all the assets from LongLife Solutions Ltd and closing it down. Forever Well PLC has decided to follow that advice.

In light of recent case law, discuss the implications of this decision for Terry and Helen.