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DRAFT FOR ATTORNEY REVIEW — NOT FINAL

Association of Unit Owners of the Deer Lodge Condominium v. Big Sky of Montana, Inc., 798 P.2d 1018 (1990)

Citation
Association of Unit Owners of the Deer Lodge Condominium v. Big Sky of Montana, Inc., 798 P.2d 1018 (1990)
Parent Document
Association of Unit Owners of the Deer Lodge Condominium v. Big Sky of Montana, Inc., 798 P.2d 1018 (1990)
Jurisdiction
Montana (state)
Effective Date
1990-09-24

Other Sections in This Document (29)

Full Text

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not be pierced in this case, rendered summary judgment in favor of
General ~lectricpension Trust, and the Montana Power Company.   It
also rendered summary judgment in favor of Boyne, U.S.A. which we
will discuss separately.
     The unit owners pose a derivative theory to upset the summary
judgments in favor of G.E. and MPC.   They claim that the Chrysler
Realty corporation, as a stockholder of Big Sky of Montana and
Realty, used the corporations as an alter ego, and thereby, the
corporate veil is pierced as to all other stockholders. The unit
owners rely on Drilcon, Inc. v. Roil Energy corporation, Inc.
(1988), 230 Mont. 166, 749 P.2d 1058 and Hando v. PPG Industries,
Inc. (1989), 236 Mont. 493, 771 P.2d 956.
     Under Drilcon, supra, the corporate veil can be pierced if a
stockholder of the corporation uses the corporation as an alter
ego, or as a subterfuge to defeat public convenience, to justify
wrong, or to perpetrate fraud.   749 P.2d at 1063. The unit owners
utilize Hando, supra, to argue that a subsidiary is the alter ego
of the parent corporation if the corporate affairs of both are so
intertwined that in effect each corporation has no separate
identity.    771 P.2d at 960.
     We have nothing in this record to indicate anything but that
G.E. and MPC were passive stockholders of Big Sky of Montana and