Asked by Isiwat Taiwo on Jun 13, 2024

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The Model Business Corporation Act has made the inclusion of purpose clause in the articles of incorporation compulsory.

Purpose Clause

A section within a legal document or law that outlines the intent or goal of the document or statute.

Model Business Corporation Act

A model set of laws prepared by the American Bar Association that serve as a guide for state legislations to regulate corporate formation, operation, and dissolution.

  • Understand the importance and requirements of articles of incorporation under the Model Business Corporation Act.
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ciara grahamJun 16, 2024
Final Answer :
False
Explanation :
Under the Model Business Corporation Act (MBCA),the inclusion of a purpose clause in the articles of incorporation is optional.