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Simple English definitions for legal terms
artificial person
Read a random definition: lodestar
A quick definition of artificial person:
An artificial person is a type of legal entity that is not a real person, but is recognized by the law as having certain rights and responsibilities, just like a real person. This can include businesses, organizations, and other groups that are established under the law and have a legal name.
A more thorough explanation:
An artificial person, also known as a juridical person, is a legal entity that is not a natural person but is recognized by law as having certain rights, protections, privileges, responsibilities, and liabilities. In simpler terms, an artificial person is a non-human entity that has legal status and can enter into contracts, own property, and sue or be sued in court.
Examples of artificial persons include:
- Corporations
- Partnerships
- Limited liability companies
- Associations
- Trusts
- Unincorporated organizations
These entities are recognized as separate from their owners or members and can conduct business, enter into contracts, and own property in their own name. For example, a corporation can enter into a contract to purchase a building, and the contract would be between the corporation and the seller, not the individual shareholders of the corporation.
Overall, an artificial person is an important concept in business and legal contexts, as it allows for the creation of legal entities that can operate independently of their owners or members.