What is the liability (in court) of a shareholder?

If the shareholder owns stock in a public company, he has no legal responsibility as he is just an investor. Public companies, as corporations, act as a shield to the management and the shareholders. If the officers have done illegal practices, they may face some type of punishment, but the shareholder presumably only buys and sell stock. He is not part of the company's decision making or operations. However, his liability is a function of his investment, so if the company loses a legal decision that is harmful to the company, the shareholder's liability would strictly be his reduction if the value of his stock value. Best of luck! The only possible answer would be c)