A Joint Stock Company is not a natural person. - Vidyadip

Question

A Joint Stock Company is not a natural person.

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Answer

A Joint Stock Company is an artificial person, created by law.
It has no physical existence, but it has legal existence.
It is not created by natural birth but can act as a natural person.
It can enter into a contract in its own name.
It can purchase and sell property, appoint persons as employees, etc.
It can open a bank account in its own name and can also raise loans.
It can file a suit against third parties and can also be sued in a court of law.
All the above acts are done in the name of the company and the members are not responsible for any of this.
Thus, a Joint Stock Company is not a natural person.

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