Ownership and Control
A corporation is typically owned and controlled by its members. In a joint-stock company the members are known as shareholders and their share in the ownership, control and profits of the corporation is determined by the portion of shares in the company that they own. Thus a person who owns a quarter of the shares of a joint-stock company owns a quarter of the company, is entitled to a quarter of the profit (or at least a quarter of the profit given to shareholders as dividends) and has a quarter of the votes capable of being cast at general meetings.
In another kind of corporation the legal document which established the corporation or which contains its current rules will determine who the corporation's members are. Who is a member depends on what kind of corporation is involved. In a worker cooperative the members are people who work for the cooperative. In a credit union the members are people who have accounts with the credit union.
The day-to-day activities of a corporation is typically controlled by individuals appointed by the members. In some cases this will be a single individual but more commonly corporations are controlled by a committee or by committees. Broadly speaking there are two kinds of committee structure.
- A single committee known as a board of directors is the method favored in most common law countries. Under this model the board of directors is composed of both executive and non-executive directors. The latter being meant to supervise the formers' management of the company
- A two-tiered committee structure with a supervisory board and a managing board is common in civil law countries. Under this model the executive directors sit on one committee while the non-executive directors sit on the other.
Read more about this topic: Corporation
Other articles related to "ownership, control":
... theology called Vedanta believes that ownership arises due to the sense of being separated from the rest of the universe ... Vedanta believes that ownership is an illusion which persists as long as the belief in separation from the Universe persists ... called the Universe, one is freed of the illusion of ownership ...
... The term fractional ownership originally became popular for business jets ... The fractional-ownership concept has since been extended to smaller aircraft and has now become common for single-engine piston aircraft like the Cirrus SR22, which are beyond the ... get together to buy light aircraft in a privately bought and managed fractional ownership, this is often known as group flying ...
... Fractional ownership is also beginning to appear for luxury items such as small yachts and megayachts, jet aircraft (especially business jets) and high-end motorhomes ... Fractional yacht / boat ownership provides marine-enthusiasts with ownership of shares in yachts of all sizes and uses ... dues provide access to the boats, but no ownership ...
... of joining together with family and friends to share ownership of vacation property has been around for many years ... Outside the USA a non-commercial form of fractional ownership has been in existence for several decades ... or vehicles as additional facilities, while retaining control entirely within the membership of the group ...
... At some unknown time, this parish passed into the ownership of the Archbishopric of Mainz ... is known for certain that Archbishop Willigis transferred the Church of Ohmbach into the ownership of Disibodenberg Abbey in 976 ... Otto II’s 977 document acknowledging such ownership ...
Famous quotes containing the words control and/or ownership:
“Time in the hand is not control of time,
Nor shattered fragments of an instrument
A proof against the wind; the wind will rise,
We can only close the shutters.”
—Adrienne Rich (b. 1929)
“They had their fortunes to make, everything to gain and nothing to lose. They were schooled in and anxious for debates; forcible in argument; reckless and brilliant. For them it was but a short and natural step from swaying juries in courtroom battles over the ownership of land to swaying constituents in contests for office. For the lawyer, oratory was the escalator that could lift a political candidate to higher ground.”
—Federal Writers Project Of The Wor, U.S. public relief program (1935-1943)