The Nugents owned a series of roofing companies. Russell Nugent Roofing, Inc. was incorporated in 1977. Russell and his wife Carol were the only shareholders, directors, and officers. The corporation's name was changed to On Top Roofing in 1985. In 1987 it ceased doing business and the Nugents did business through a new corporation, RNR Inc., which ceased to exist in 1988 and was replaced by RLN Construction, Inc., which was replaced by Russell Nugent, Inc. in 1989. During that time, Nugent worked continuously. The businesses were run out of the Nugent's home. In 1986, they paid themselves salaries over $100,000 each and charged the corporation $99,290 in rent for space in their home.

1. When a court pierced the corporate veil, doesn't that defeat the purpose of limited liability?
2. Could K.C. Roofing have protected itself by filing a lien against On Top?