Case Problem. Answer the below case problem, giving the legal issue, the governing law and the rationale in support of your conclusion. (15 points):

Arthur Jensen, Inc., was a corporation engaged in the housing construction business.

Arthur Jensen set up and was the sole owner and president of the corporation. Alaska

Valuation Service [AVS] conducted housing appraisals for Jensen on numerous occasions

over the years. When AVS took the orders for appraisals, it was not aware that it was

dealing with a corporation. It believed that it was dealing directly with Jensen [i.e., as

a sole proprietor]. Jensen never specifically informed AVS of his status as the president

of Arthur Jensen, Inc. When AVS was not paid for appraisal services that it had performed,

AVS sued Arthur Jensen, attempting to hold him personally liable for the unpaid appraisals.

Arthur Jensen argued that he could not be personally liable because he had acted on behalf

of his corporation.

2/ Assuming Arthur Jensen could be held personally liable, how could Arthur

Jensen have better protected himself?