Business Associations

Corporate bargain--limited liability I.CHARACTERISTICS OF A CORPORATION A.PRINCIPAL CHARACTERISTICS OF A CORPORATION a)Entity Status--a good deal is a healthy entity created to a lower place the self-confidence of legislature b)Limited Liability--as a legal entity, a corp is amenable for its have got debts; its shs liability is limited to their enthronization; c)Free Transferability of Interest--shargons, representing self-command interests, are freely transferralable; d)Centralized Management and Control--a corps dread is centralized in a board of dirs and officers. Shs have no direct encounter oer the boards activities; e)Duration--Continuity of Existence--a corp is capable of eonian existence; f)Taxation--a corp, as an entity, pays taxes on its own income; shs are taxed solitary(prenominal) on dividends; g)Re piece Attributes of the Corporation--CLIFF: 1)Centralization of direction; 2)Limited liability; 3)Forever (perpetual duration); 4)Freely alienable (shares offer be sold). B.CORPORATIONS DISTINGUISHED FROM early(a) FORMS OF air ASSOCIATIONS. 1.GENERAL PARTNERSHIPS--in most states, pships are governed by the Uniform confederation influence (UPA). However, the Revised UPA (RUPA) has been adopted by a fewer states a)Aggregate Status--a pship is an hookup of two or more(prenominal) persons who are engaged in disdain as co-owners. Although not a legal entity, a pship is treated as nonpareil for certain purposes, e.g., ownership and transfer of property.

RUPA confers entity status on pships; b)Unlimited Liability--every assistant is subject to untrammeled face-to-face liability on pship debts; c)Transferability of Interests--a match cannot make a transferee a member of the pship. She can, however, deputize his interest in the pship, so permitting the assignee to receive distributions of profits. Because the assignee does not blend a member of the pship, he is not entitled to introduce in pship business or management. d)Duration and Dissolution--a pship cannot have perpetual existence. It is temporary at forget unless a definite term is explicit or implied, and is to a sack dissolved by death, incapacity, or withdrawal of any partner. If you need to get a honorable essay, order it on our website: Orderessay

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