49.

X, the President of ZZZ Corporation, was authorized by the Board of

Directors of ZZZ Corporation to obtain a loan from YYY Bank and to sign
documents in behalf of the corporation. X personally negotiated for the loan and
got the loan at very low interest rates. Upon maturity of the loan, ZZZ
Corporation was unable to pay. Which statement is most accurate?
a) Because X was personally acting in behalf of the Corporation, he can be
held personally liable.
b) X, as President, cannot be personally held liable for the obligation of the
corporation even though he signed all the loan documents, because the
loan was authorized by the Board.
c) YYY Bank can choose as to who it wants to hold liable for the loan.
d) If ZZZ Corporation cannot pay, X can be held subsidiarily liable.