Comment by will4274

The corporate veil can be pierced. https://en.wikipedia.org/wiki/Piercing_the_corporate_veil. From the Wikipedia page, it sounds like this is most common in the United Kingdom when a corporation "is established to avoid an existing obligation" - which is exactly what you're suggesting. I am not licensed to practice law anywhere, but particularly not in the United Kingdom, where I have never been.

To my understanding working at American non-profits, however, corporations are most helpful as a liability shield when they are clearly distinct entities, with distinct goals, and distinct decision making. In practice, that means having multiple people, writing some sort of charter / statement of purpose, and having quarterly meetings of a board of directors with quorums where notes are written and votes are taken. This can all be a fair bit of work, where before nothing was required.