but I am preparing for LL.M entrance exam so this question has 4 options those are as follows 1) Limited liability 2) perpetual succession 3) Lifting the corporate veil 4) ability to sue and be sued
It is very difficult to give a straight forward answer because it depends on situation. Certainly perpetual succession is not an advantage but it is just a feature of a company. Limited liability is an advantage from the investor point of view, but investor includes directors also. If they commit any fraud, the court can lift the corporate veil. Ability to be sued and to sue is one of the characteristic of the company. Every above situation is completely hypothetical and a straight answer may not be possible. Further I cannot see any of the above as a disadvantage in any sense.