Question

A corporation officially states its purpose is "to engage in any lawful activity for which corporations may be organized under the General Corporation Law of Idaho." Under corporate law, this purpose is too broad. A corporation's purpose must be more narrowly defined. True or false?

Answer 1

Answer:

False

Explanation:

A corporation shall work lawfully, all its actions shall be legal, and all its aims shall also be legal. Being lawful is never too broad, rather making it narrow might be illegal and not lawful.

The General Corporation Law of Idhao basically focuses on the activities under the business, the role of management, shareholders, directors, etc:

It is not that broad in its terms that it shall be altered to be narrowed.

Thus, the statement is not true here.