The rights of corporations in Ohio are specifically codified in Title XVII of the Ohio Revised Code. Some of the authorities such an entity enjoys are relatively straightforward, such as the right to sue or adopt a seal or trademark. These are often accompanied by reciprocal laws, however, like the fact that a corporation can be sued as well as held liable for a corporate instrument that it fails to place its trademark on.
In the process of fulfilling the intents set forth in their articles, corporations are allowed to borrow money, issue bonds, pledge debt notes and employ various financial means, such as mortgages, to secure obligations and guarantees. Corporations can also make legally binding contracts and acquire other entities regardless of their nature, but these agreements may be contested. According to the code, corporations are allowed to resist actions like changes in control or restructuring, and this right may provide grounds for shareholder disputes.
Ohio corporations also have the right to function as defense contractors. As long as its business remains lawful, and it is working with the United States government or one of its agencies, Title XVII places no limitations on the kind of services a corporation can perform. In addition, corporations may accept all properties and interest in property as gifts or bequests, and they can also donate such items for a range of charitable, educational and other purposes.
Corporations that want to do business in Ohio are subject to a number of regulations. Such laws dictate a firm’s responsibilities and rights in many situations, and their application may have a significant impact on the outcome of lawsuits. Management may find it helpful to investigate these rules in detail prior to initiating disputes or responding to related legal actions.
Source: Ohio Laws and Rules, “1701.13 Authority of corporation.“, September 19, 2014