Any person purporting to act as or on behalf of a corporation, knowing there was no incorporation under this chapter, is jointly and severally liable for all liabilities created while so acting.

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Terms Used In South Dakota Codified Laws 47-1A-204

  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
  • Person: includes an individual and an entity. See South Dakota Codified Laws 47-1A-140

Source: SL 2005, ch 239, § 33.