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A company acquires legal personality through the process of incorporation, which involves registering the business with the appropriate governmental authority, typically by filing articles of incorporation. This legal process grants the company its own distinct identity, separate from its owners or shareholders, allowing it to enter contracts, own property, and be liable for its debts. Legal personality is essential for a company to operate as a separate entity in the eyes of the law.
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What is the meaning of legal personality in regards to who is responsible for income tax?
Taxation falls on individuals,but legal personality extends to companies: If you start a company and that company has income than that company is liable for taxes
The principle of legal entity from the case salomon vs salomon?
A corporation has a legal existence separate and apart from its shareholders (or members) and, even in the case of company which is wholly or substantially held by a single person, that single person is not liable--in the absence of fraud or other limiting factors--for the debts of the company he or she has incorporated.
What is doctrine of corporate personality in a company law?
This is simply the doctrine that the directors of a company cannot be personally held liable by the company or shareholder. It distinguishes the company as a 'legal' person that may sue for breach of his or rights.
What is LBO?
It's a leveraged buyout. A smaller company acquires a larger company by borrowing money from the bond market .
Horizontal Integration?
Is a strategy where a company creates or acquires production units for outputs which are alike - either complementary or competitive. One example would be when a company acquires competitors in the same industry doing the same stage of production for the creation of a monopoly.
What happens to the employees when one company buys another?
The new company acquires the files. When you buy a company, you also buy everything that is owned by that company, which includes files.
What happens to the employee files when one company buys another?
The new company acquires the files. When you buy a company, you also buy everything that is owned by that company, which includes files.
The Walt Disney Company's brand personality?
The Walt Disney Company's brand personality is fun and family.
What is a stock company?
One who acquires ownership by buying shares which are the wealth of the company. Prophets depend on success and share of stocks. If company fails, one is responsible just for his own share.
Transfer for the purpose of capital gain?
where a company wishes to enter into a merger or an acquisition, with another company with the intention of increasing its share capital that is mainly the meaning for transfer for the purpose of capital gain. the company acquires the capital of the company it acquires as well. You have certain exceptions to this core definition though, for example in the case of a demerger, when a demerged company transfers its capital asset that shall not be called a transfer for the purpose of capital gain.
How does legal personality and continuity help business companies to operate effectively?
"Legal Personality : A company is legally recognized as having an identity separate from that of its owners. This means, for example, that if the products sold by a company are found to be dangerous or faulty, the company itself can be prosecuted, not the owners, as would be the case with either a sole trader or partnership. A company can be sued and can sue others through the courts." "Continuity: In a company, the death of an owner or director does not lead to its break-up or dissolution. All that happens is that ownership continues through the inheritance of the shares, and there is no break in ownership at all." Answer: Legal Personality and Continuity help companies and businesses to operate efficiently because both of them protect the company or business to collapse because of a lack of owner. Source: Business and Management for the IB Dipolma. by Peter Stimpson and Alex Smith (pg. 14)
What is a joint stock company?
One who acquires ownership by buying shares which are the wealth of the company. Prophets depend on success and share of stocks. If company fails, one is responsible just for his own share.
