Kansas Jury Instruction — 1.9.5.2 Subsidiary As Alter Ego Of Parent Corporation is a legal instruction that pertains to the concept of piercing the corporate veil in Kansas, specifically where a subsidiary corporation can be considered the alter ego of its parent corporation. This instruction is designed to guide the jury in determining whether the subsidiary corporation should be disregarded and treated as one entity with its parent corporation for legal purposes. Under Kansas law, when a subsidiary corporation is considered the alter ego of its parent corporation, the legal distinction between the two entities is disregarded, and the liabilities of the parent can be attributed to the subsidiary. This doctrine is invoked to prevent individuals or entities from using the corporate structure to avoid legal obligations or unfairly shield themselves from liability. The Kansas Jury Instruction — 1.9.5.2 Subsidiary As Alter Ego Of Parent Corporation provides guidance to the jury on the factors that should be considered in evaluating whether a subsidiary is the alter ego of its parent. These factors may include: 1. Control and Dominance: The degree to which the parent exercises control and dominance over the subsidiary's operations, decision-making processes, and overall management. 2. Commingling of Finances: Whether the parent and subsidiary intermingle their finances, assets, or accounts to such an extent that the two entities no longer have separate financial identities. 3. Failure to Maintain Separate Corporate Formalities: Whether the parent and subsidiary fail to observe the required formalities and keep their affairs separate, such as holding separate board meetings, maintaining separate records, or issuing distinct financial statements. 4. Inadequate Capitalization: Assessing whether the subsidiary has been under capitalized or solely reliant on the parent's financial resources, suggesting that it functions merely as an extension of the parent. 5. Lack of Independent Corporate Existence: Determining whether there is a genuine separation between the parent and subsidiary in terms of their operations, business activities, and corporate purposes. If the jury finds that these factors indicate the subsidiary is being operated as the alter ego of its parent corporation, they may decide to "pierce the corporate veil" and hold the parent corporation liable for the subsidiary's actions or obligations. This instruction serves as a guide to aid the jury in assessing the evidence presented in a case involving a subsidiary as the alter ego of a parent corporation. It should be noted that there may not be different types of Kansas Jury Instruction — 1.9.5.2 Subsidiary As Alter Ego Of Parent Corporation. Rather, this instruction provides a general framework for analyzing alter ego claims within the Kansas legal system.