Ultra Vires Question

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Ultra Vires Question

Postby SKlei » Thu Dec 20, 2012 9:18 pm

Confused about Ultra Vires in America----I know w/ the British rule, the actions will be void, but what happens in America?

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Joined: Wed Oct 17, 2012 12:49 am

Re: Ultra Vires Question

Postby kingofdara » Thu Dec 20, 2012 10:08 pm

Most states have passed statutes repealing ultra vires as a defense. This is primarily to protect contractors and creditors from having otherwise legitimate business suddenly voided based on an archaic legal rule.

For example, NY BCL § 203 http://law.justia.com/codes/new-york/20 ... cle-2/203/

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