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Source LLC Formation Complete Business Associations List Matched to this deck.

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Before a corporation was formed, a promoter signed a lease in the name of "Harbor Tech Inc., to be formed." The corporation was later formed and used the office, but the landlord never agreed to release the promoter.
Which statement is most accurate about the promoter's liability?

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The promoter is released if she owns less than half the corporation's shares. The promoter generally remains liable unless the contract provides otherwise or the third party agrees to a novation. The promoter is automatically released from the preincorporation contract when the corporation is formed. The promoter is liable only if the articles of incorporation are defective.

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