What do you understand the term “body corporate”, as used in company law?

“Body Corporate”

Under Section 16(2) of the Companies Act, from the date of Incorporation mentioned in the certificate of incorporation the subscribers to the memorandum together with such other persons as may from time to time become members of the company shall be a BODY CORPORATE.

The most fundamental attribute of incorporation is that the company becomes a legal person distinct and separate from its members. Other consequences or effects of incorporation are based on these facts. The Salomons Case Lord MacNaghten stated that
“the company is at law a different person altogether from the subscribers to the memorandum”. The principle of legal or corporate personality manifests itself in various ways. The legal personality created incorporation has several characteristics or attributes:

• Limited liability
• Perpetual succession
• Sue or be sued
• Capacity to contract
• Owning of property
• Common seal

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