What can happen if a corporation with a fixed term fails to renew its term on time?

If a corporation with a fixed term fails to renew its term on time, it is indeed automatically dissolved without recourse. This means that upon the expiration of its designated term, the corporation ceases to exist and cannot continue its operations unless specific action is taken to rectify the situation. The dissolution generally means that the corporation can no longer engage in business activities, enter into contracts, or incur liabilities.

The automatic nature of this dissolution is significant because it stresses the importance of timely renewal for corporations with a fixed term. This is a compliance issue that requires careful monitoring to ensure that the corporate entity remains in good standing and continues to operate legally.

The other options involve misunderstandings about the consequences of failing to renew a corporation's term. For instance, reviving a dissolved corporation typically involves more than just a straightforward process and may not be permitted at all, depending on the jurisdiction's corporate laws. Thus, while renewal is an essential duty of the corporation, the failure to undertake this action leads directly to automatic dissolution without any additional requirements or prerequisites to continue operations.