A Corporate body is defined as an entity, which has rights before the law just like a person. A corporation has an independent legal identity. As their share holders are safeguarded by “limited liability”, the company is termed as a limited company.

Limited companies are of two types, private limited companies, whose shares are sold privately and public limited companies whose shares are sold to the public and traded on the stock exchange. Public Limited Companies as suffixed with PLC after the company name and Private Limited companies are suffixed with Ltd after the company name.

Corporations today have colonized our world of thinking, doing big business has more to do with a corporations than it has to do with anything else. The Corporation is the creation of the Law; it does not exist naturally and is not naturally formed by the outcome of the market.

The existence of corporations as we have them today is a result of compromise, accidents and victories from vested interest, right from their inceptions dating back nearly four centuries.

Corporate Law today is the study of directors, shareholders, creditors, employees and stake holders like the environment, consumers and the community, interact with one another as per the rules of the firm. Corporate Law is the broader part of the law of business associations i.e. companies law.

Modern Corporations have four basic characteristics that being Delegated Management, where the reins of the company are placed in the hands of the board of directors; Shares, usually referring to the stock exchange; Separate Legal Personality, where the company is lawfully treated as a person with a capacity to sue or be sued and limited liability of shareholders, where if the company turns insolvent, the shareholder only owe by losing the amount they have invested in that company’s shares.