What are express powers of a corporation?

What are express powers of a corporation?

• A. Powers that are implied without specific mention
• B. Powers explicitly granted by law
• C. Powers that relate to employee conduct
• D. Powers that allow corporate officers to operate independently

Answer: (B)

The express powers of a corporation refer to the specific authorities that are clearly stated and granted to the corporation by laws, such as state statutes or a corporation's articles of incorporation. These powers enable the corporation to act in ways that are legally recognized and are outlined explicitly, allowing it to carry out its business activities and objectives. For instance, express powers may include the ability to enter into contracts, sue or be sued, own property, and conduct business in various jurisdictions, as defined by relevant corporate laws. This is crucial because these powers ensure that corporations operate within the legal framework established by regulatory bodies. The other choices do not correctly define express powers. Powers that are implied are those not stated outright but are assumed to be included within the scope of the express powers. Powers that relate to employee conduct focus more on internal governance rather than the legal authority of the corporation itself. Lastly, the ability of corporate officers to operate independently often falls under the scope of fiduciary duties rather than express powers of the corporation.

The express powers of a corporation refer to the specific authorities that are clearly stated and granted to the corporation by laws, such as state statutes or a corporation's articles of incorporation. These powers enable the corporation to act in ways that are legally recognized and are outlined explicitly, allowing it to carry out its business activities and objectives.

For instance, express powers may include the ability to enter into contracts, sue or be sued, own property, and conduct business in various jurisdictions, as defined by relevant corporate laws. This is crucial because these powers ensure that corporations operate within the legal framework established by regulatory bodies.

The other choices do not correctly define express powers. Powers that are implied are those not stated outright but are assumed to be included within the scope of the express powers. Powers that relate to employee conduct focus more on internal governance rather than the legal authority of the corporation itself. Lastly, the ability of corporate officers to operate independently often falls under the scope of fiduciary duties rather than express powers of the corporation.