Corporation Sole in Law of Iran and Common Law
Document Type : Specialized Article
Authors
1 Assistant Professor of Judicial Research Institute
2 PhD student in private law, University of Forensic Sciences
Abstract
Having an assembly for a particular activity is what comes to mind as a signification of the word “corporation”. In the other words plurality of persons is one of the fundamental elements of this concept reflected in Civil and Commercial Codes in which plurality of partners is one of the conditions. Hence, establishment of a corporation by an individual is not permitted by the laws, yet the possibility of such work exists in the law of many countries like in the Company law of England, establishment of all types of corporations by an individual is recognized and permitted. These kinds of companies have been assessed for small and middle economic activities along with the growth and prosper of them. As these corporations have the potential of misuse, providing some arrangements sounds essential such as ascertaining the capital by the court, neglecting the legal personality whenever the establishment has happened under fraudulent purposes, and the responsibility of the shareholder by itself toward the creditors. Due to laws and regulation; however, establishment of these companies are impossible, according to fading the theory of contractual-basis of companies’ legal personality and accepting the organizational theory, reflection of these ones are going to be feasible and legal bases are not counted as an impediments before them.
Keywords
)