Oregon Jury Instruction — 1.9.5.2 Subsidiary As Alter Ego Of Parent Corporation Explanation: The Oregon Jury Instruction — 1.9.5.2 addresses the legal concept of a subsidiary being considered the alter ego of its parent corporation. This instruction is applicable in cases where the plaintiff argues that the subsidiary and parent corporation should be treated as a single entity, disregarding their separate legal existence. The alter ego theory allows a court to pierce the corporate veil, holding the parent company liable for the subsidiary's actions or debts. To establish this theory, certain conditions need to be met, such as: 1. Control and Domination: The parent corporation must exert complete control over the subsidiary, to the point where it operates as a mere instrumentality or extension of the parent. 2. Unity of Interest and Ownership: There should be a unity of interest and ownership between the parent and subsidiary, blurring the line between their separate legal entities. 3. Fraud or Injustice: The plaintiff must prove that recognizing the separate existence of the subsidiary would result in fraud or an injustice against them. Different Types of Oregon Jury Instruction — 1.9.5.2 Subsidiary As Alter Ego Of Parent Corporation: 1. Direct Control Alter Ego: This type pertains to situations where the parent corporation explicitly controls the subsidiary's decision-making processes and exercises direct authority over its operations. 2. Unity of Interest Alter Ego: This type focuses on cases where there is a significant overlap in ownership and financial interests between the parent and subsidiary. It is not necessary for the parent to exercise direct control, as long as there is substantial intermingling of interests. 3. Fraudulent Alter Ego: This type arises when the plaintiff alleges that the creation of the subsidiary was purely for fraudulent purposes, intending to shield the parent corporation from legal liability. 4. Injustice-Based Alter Ego: In this type, the plaintiff argues that honoring the separate legal existence of the subsidiary would result in an unjust outcome, such as leaving them without a remedy for their claims. These distinct types allow courts to assess the unique circumstances and arguments put forth in each case where the plaintiff seeks to hold the parent corporation liable for the subsidiary's actions through the alter ego theory. It is important to note that the application of Oregon Jury Instruction — 1.9.5.2 and its different types may vary depending on the specific facts and legal arguments presented in a given case. Therefore, it is crucial for attorneys and jurors to carefully consider the evidence and arguments before reaching a determination on alter ego liability.