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The landmark decision of the House of Lords in Salomon v Salomon & Co Ltd [1896] UKHL 1 though hailed as a good decision is in reality a bad decision that has led to irresponsibility in modern day business”. Critically assess the efficacy of this statement, and show how the law (case law and statutes) have ensured that the legal principle set out in the Salomon case is not abused.

The landmark decision of the House of Lords in Salomon v Salomon & Co Ltd [1896] UKHL 1 though hailed as a good decision is in reality a bad decision that has led to irresponsibility in modern day business”.

 

Critically assess the efficacy of this statement, and show how the law (case law and statutes) have ensured that the legal principle set out in the Salomon case is not abused.

2000 words needed. Support your answer with cases like Lee v Lee’s Air Farming Ltd [1961] AC 12, Gilford Motor Co v Horne [1933], etc.


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