Hardly, the point is to allow people to take some risks without risking all their assets. That’s it, that’s the entire point when they were created as people had been pooling assets long before corporations exited.

IMO, like bankruptcy laws in general it’s a generally a good idea. Where the nuances exists is what debts can’t be discharged in bankruptcy and at what point you pierce the corporate veil because several things remove the protections offered by creating a company.

One of the things we get wrong IMO is I think a corporation should be unable to shield itself from risk by creating another corporation. That creates all kinds of terrible incentives without any real upside.