Reference Case: Luo Mouhe v. Weikang Company and Nike Company
In a Greater Bay Area model case released by the Guangdong High Court, the Foshan Intermediate People's Court found veil-piercing appropriate because affiliated companies under the same actual controller and finance head operated from the same location, used a unified external brand, and repeatedly collected one another's funds or assumed one another's debts. The court held that the companies had lost separate personality and imposed joint liability on Nike Company for Weikang Company's loan debt.
Holding
In a Greater Bay Area model case released by the Guangdong High Court, the Foshan Intermediate People's Court found veil-piercing appropriate because affiliated companies under the same actual controller and finance head operated from the same location, used a unified external brand, and repeatedly collected one another's funds or assumed one another's debts. The court held that the companies had lost separate personality and imposed joint liability on Nike Company for Weikang Company's loan debt.