Diana is busy making contracts in preparation for her yet-to-be-formed company that will specialise in providing consulting services. Diana has been told that she is a ‘promoter’. Diana asks you, ‘what is a promoter?’, and ‘what is a promoter’s relationship to the later incorporated company?’ Lu then asks you to explain to her Part 2B.3 of the Corporations Act, and what dilemma in common law it was intended to overcome.

 

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. Does the concept of a company being described as an 'artificial legal person' apply to this scenario? How has this concept has been dealt with in John Henshall (Quarries) Ltd v Harvey (1965) 1 All ER 725? 2 marks . Does the concept of a company being described as an 'artificial legal person' apply to this scenario? How has this concept has been dealt with in John Henshall (Quarries) Ltd v Harvey (1965) 1 All ER 725? 2 marks

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A promoter is a person firm or group of person who brought up the idea of a company and took a step with a view to ensure that the idea becomes a reality The promoter also incurs the preliminary expen... View the full answer