This text of Louisiana § 12:1705 (Business organizations; juridical personalities) is published on Counsel Stack Legal Research, covering Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
§1705. Business organizations; juridical personalities
A. The separate juridical personality of a business organization shall not be
disregarded as between one business organization and another except on grounds that would
justify disregarding the separate personality of a business organization as between the
business organization and a natural person.
B. Notwithstanding Subsection A of this Section, the separate juridical personality
of a business organization may not be disregarded merely because one or more of the
following circumstances exist:
(1)They control one another or are under the common control of the same person
or business organization.
(2)They have common directors, officers, shareholders, members, managers,
partners, or employees.
(3)They have common offices.
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§1705. Business organizations; juridical personalities
A. The separate juridical personality of a business organization shall not be
disregarded as between one business organization and another except on grounds that would
justify disregarding the separate personality of a business organization as between the
business organization and a natural person.
B. Notwithstanding Subsection A of this Section, the separate juridical personality
of a business organization may not be disregarded merely because one or more of the
following circumstances exist:
(1) They control one another or are under the common control of the same person
or business organization.
(2) They have common directors, officers, shareholders, members, managers,
partners, or employees.
(3) They have common offices.
(4) They are subject to unified administrative control.
(5) They utilize a centralized accounting system.
(6) One business organization finances, incorporates, or organizes another.
(7) One business organization makes properly documented payments on behalf of
another or makes properly documented use of the property of another.
(8) The employees of one business organization provide properly documented
services for another.
(9) One business organization receives no business other than that given to it by
another.
C. For purposes of this Section, the term "business organization" means a business
corporation, nonprofit corporation, limited liability company, partnership, trust, or other form
of business organization that is treated as a juridical person or legal entity pursuant to the
laws of the state or country under which it is incorporated or organized.
D.(1) This Section shall not affect any legal or regulatory action taken by the
commissioner of insurance pursuant to the Louisiana Insurance Code, Chapter 9 of Title 22
of the Louisiana Revised Statutes of 1950.
(2) This Section shall not affect any law or administrative rule that permits or
requires a group of business organizations to be consolidated, unified, or disregarded for the
purposes provided in the applicable law or administrative rule.