Search results
Results from the WOW.Com Content Network
This federal statute has many consequences. For example, a corporation may enter contracts, [23] sue and be sued, [24] and be held liable under both civil and criminal law. [25] Because the corporation is legally considered the "person", individual shareholders are not legally responsible for the corporation's debts and damages. [26]
Bank of the United States v. Deveaux, 9 US 61 (1809) is an early US corporate law case decided by the US Supreme Court.It held that corporations have the capacity to sue in federal court on grounds of diversity under article three, section two of the United States Constitution. [1]
A corporation or body corporate is an individual or a group of people, such as an association or company, that has been authorized by the state to act as a single entity (a legal entity recognized by private and public law as "born out of statute"; a legal person in a legal context) and recognized as such in law for certain purposes.
In 1837, Connecticut adopted a general corporation statute that allowed for the incorporation of any corporation engaged in any lawful business. [3] Delaware did not enact its first corporation law until 1883. Bank of the United States v. Deveaux, 9 U.S. 61 (1809) corporations have capacity to sue. Gibbons v.
Noam Chomsky and others have criticized the legal decisions that led to the creation of the modern corporation: Corporations, which previously had been considered artificial entities with no rights, were accorded all the rights of persons, and far more, since they are "immortal persons", and "persons" of extraordinary wealth and power.
A corporation was defined in the Dartmouth College case of 1819, in which Chief Justice Marshall of the United States Supreme Court stated: "A corporation is an artificial being, invisible, intangible, and existing only in contemplation of the law." A corporation is a legal entity, distinct and separate from the individuals who create and ...
Since the world's first stock market crash (the South Sea Bubble of 1720) corporations were perceived as dangerous. This was because, as the economist Adam Smith wrote in The Wealth of Nations (1776), directors managed "other people's money" and this conflict of interest meant directors were prone to "negligence and profusion".
The companies that ran the towns were mainly labor-intensive companies such as coal, steel, lumber, and various war industries. Most people living in these towns were immigrants new to the country. [24] The tight, paternalistic control exerted by companies over the residents' behavior and even opinions caused issues and concerns. [26]