Lobo Manufacturing, Inc., is incorporated under the laws of New Mexico. Its principal place of business is in California, and it has permanent sales offices in several other states. Under the circumstances, which of the following is true?
A. California may validly demand that Lobo incorporate under the laws of the State of California.
B. Lobo must obtain a certificate of authority to transact business in California and the other states in which it does business.
C. Lobo is a foreign corporation in California, but not in the other states.
D. California may prevent Lobo from operating as a corporation if the laws of California differ regarding organization and conduct of the corporation's internal affairs.
Answer: B. Lobo must obtain a certificate of authority to transact business in California and the other states in which it does business.
You might also like to view...
Corporate philanthropy as a whole is on the rise
Indicate whether the statement is true or false
In the GIFT MINI CASE, when Winston gives Vanessa a gift for her birthday, this is known as ________
A) interpersonal gifting B) intercategory gifting C) intergroup gifting D) intrapersonal gifting E) intragroup gifting