Corporation

Features of a Company

Lord Justice Lindley has defined a company as “an association of many persons who contribute money or money’s worth to common stock and employ it in some trade or business and who share the profit and loss arising therefrom. The common…

A Company’s legal existence

A corporation is a fictitious entity. An organisation is a corporate body that exists independently of its owners (shareholders). It is a legitimate entity in the eyes of the law, but it is incapable of acting on its own. It must work by a board of directors that has been elected by the shareholders. As a result, a corporation has its own legal identity.