Question $21$

$1pts$

Tyler, an extremely wealthy business investor, is the primary shareholder and CEO for BloNo Gym Corp. BloNo Gym Corp. enters into a lease agreement with Large Land Corp. to lease a large space for $10-$years, where Tyler is planning on setting up a premier gym. Tyler has done extensive research on the viability of a premier gym, and has followed all corporate formalities to set up BloNo Gym Corp. Unfortunately, after three years, BloNo Gym Corp. has not had the membership interest Tyler was planning on$,$ and BloNo Gym Corp. closes its doors. Large Land Corp. sues BloNo Gym Corp. for the unpaid portion of the $10-$year lease, and asks the court to pierce BloNo Gym Corp.$\text{'}$s corporate veil, so that they can collect a judgement from Tyler, since BloNo Gym Corp no longer has any assets. The court will pierce the corporate veil if:

Large Land Corp. can show that Tyler is independently wealthy and can afford to pay the rest of BloNo Gym Corp.$\text{'}$s lease

Large Land Corp. can show that Tyler had a prior company that went bankrupt

Large Land Corp. can show only that Tyler was fraudulent in the lease negotiations with Large Land Corp.

Large Land Corp. can show that Tyler was fraudulent in the lease negotiations with Large Land Corp. and that BloNo Gym Corp. did not follow any corporate formalities for the three years that they were in business