Do a case analysis for Walkovszky v. Carlton. Include the holding(s), the strongest arguments for both sides, and your conclusion. Mention efficiency arguments and fairness arguments for both sides.

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Walkovszky v . Carlton

Holding

Carlton owned a cab company in which he had established ten independent corporations . Each corporation held a liability insurance value of 10 ,000 recognized by the State law . Nevertheless , Carlton is the primary and sole owner and beneficiary stockholder of the business . Despite the fact that the companies were legally recognized as separate entities they were run and managed by Carlton . When one of the cabs negligently injured Walkovszky , it was justifiable to sue one of the subsidiary

br companies which had the least asset value (Robert et al , 2008

Arguments for Carlton Arguments for Walkovszky

The law should recognize that although Carlton owns the company , the corporations within the company are legal and independent . The law should overlook the fact that Carlton is the primary stockholder of the company and should therefore be held responsible for the negligently caused accident by one of his cabs

It is efficient that the corporation was run not for personal gains but for the benefit of the whole corporation . Therefore a corporation with lowest asset value is valid and cannot be ignored as supported by law (Robert et al , 2008 . It is inefficient to assume that the corporation was run for the benefit of the whole company . Since Carlton is the sole earner of benefits and share holder , he personally derives satisfaction from the corporation

It is efficient to support the fact that the corporation was not intentionally undercapitalized to avoid liability and responsibility for...