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The corporate veil exists as the legal separation between the assets and liabilities of the individual and the assets and liabilities of the corporation. It may be pierced if it can be proven that the corporation is merely the “alter ego” of the individual. In most states, alter ego can be proven in a variety of ways, including failure to maintain corporate formalities or commingling of funds. Outside of Nevada, the list for piercing the corporate veil is impressive, with over 28 different ways to pierce the corporate veil. In Nevada, the corporate veil cannot be pierced unless alter ego is proven in the presence of statutory fraud or manifest injustice. In plain English: if you’re not intentionally committing fraud, Nevada offers the highest standard of corporate veil protection available in America.
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You don’t need to live in Nevada to enjoy the best asset protection
and audit defense a Nevada LLC can provide.
To learn more, contact a Nevada Corporate Headquarters representative at 1-800-508-1729.