C. MAC CHAMBERS CO. v. IOWA TAE KNOWN DO ACADEMY

No. 86-135.

412 N.W.2d 593 (1987)

C. MAC CHAMBERS COMPANY, INC., Appellee, v. IOWA TAE KWON DO ACADEMY, INC.; Acta Fitness Center, Ltd.; In Mook Kim and Ki Tae Kim, Appellants. KRAGIE-NEWELL ADVERTISING, INC., Appellee, v. IOWA TAE KWON DO ACADEMY, INC.; Acta Fitness Center, Ltd.; In Mook Kim and Ki Tae Kim, Appellants.

Supreme Court of Iowa.

Rehearing Denied October 22, 1987.


Attorney(s) appearing for the Case

Mark Godwin, Des Moines, for appellants.

Kevin M. Reynolds, and Robert M. Holliday, Des Moines, for appellees.

Considered en banc.


HARRIS, Justice.

A closely held corporation failed and was immediately supplanted by a separate corporation. Both were owned and operated by members of the same family. The business continued without interruption. Creditors of the failed corporation brought actions on several theories, seeking to recover against the succeeding corporation and the family member who was its sole shareholder and director. We think the creditors may recover actual but not punitive damages...

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