Question 27
Business UnitsA feature common to public and private limited liability companies is that
- A.both can sue and be sued
- B.the minimum number of their shareholders is five
- C.the transfer of their shares is not restricted
- D.their annual accounts are published for public use.
Show the answer and explanation
Answer: A (both can sue and be sued)
Explanation
Every company is a separate legal person, so it can sue and be sued in its own name.