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Explain how Australian Corporations Law deals with corporate groups in the context of the doctrine of the separate legal entity of a corporation.

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“Increasingly over the last 30 years, the development of complex corporate groups has facilitated the opportunity to move assets between companies in that group. The main issue with corporate groups is that they operate, very often, as an integrated single entity, despite the fact that they are composed of many different individual companies. Of course, different companies within a corporate group will have different creditors whose separate interests deserve protection.”...

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Question Preview:

“Increasingly over the last 30 years, the development of complex corporate groups has facilitated the opportunity to move assets between companies in that group. The main issue with corporate groups is that they operate, very often, as an integrated single entity, despite the fact that they are composed of many different individual companies. Of course, different companies within a corporate group will have different creditors whose separate interests deserve protection.”

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The assignment on Australian Corporations Law is based on the influence of the doctrine of separate legal entity on the company existing in a corporate group. The assignment has been given a touch of what the Australian Corporations Law and the Corporations Act, 2001 of the Commonwealth of Australia have to reflect on the concept of corporate group and the relevance of separate legal entity on these company groups. The introduction is followed by the description of what a corporate group is in the field of Australian law terminology. Corporate groups have been kept in mind and described, as per the Corporations Act, 2001 of Australia, and the discussion of the relevance of the distinct legal entity principle has been taken in the last to give a final thought on the topic provided.

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