Choose either Question 1 or Question 2:
1. ‘Despite being viewed as the key advantage of incorporation, the benefit of limited liability (in companies) may prove to be illusory and so be outweighed by the disadvantages of incorporation.’ Discuss the relevance of this statement.
NB: ‘illusory’ means lacking in reality or substance.
2. Damages may take the form of liquidated damages which are a pre-estimate of damages by the parties in the event of a breach of contract. Where the pre-estimated amount is not a genuine assessment of likely damage, it may amount to a penalty
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