COMPANY: MEANING AND ITS FEATURES
Meaning:
According to Chief Justice Marshall,“a corporation is an artificial being, invisible, intangible, existing only in contemplation of law. Being a mere creation of law, it possesses only those properties which the charter of its creation confers upon it, either expressly or as accidental to its very existence.
In the words of professor Haney“A company is an incorporated association, which is an artificial person created by law, having a separate entity, with a perpetual succession and a common seal.” This definition sums up the meaning as well as the features of a company succinctly.
However, the Act defines the term company a bit differently. Section 2(20) of the Companies Act, 2013 defines the term‘company’. “Company means a company incorporated under this Act or under any previous company law”. As we shall progress under the chapter, the meaning of the term company will be understood by the students.
In the words of professor Haney“A company is an incorporated association, which is an artificial person created by law, having a separate entity, with a perpetual succession and a common seal.” This definition sums up the meaning as well as the features of a company succinctly.
However, the Act defines the term company a bit differently. Section 2(20) of the Companies Act, 2013 defines the term‘company’. “Company means a company incorporated under this Act or under any previous company law”. As we shall progress under the chapter, the meaning of the term company will be understood by the students.
No comments:
Post a Comment