Corporation and natural personal

There is also a fundamental distinction between a corporation and natural person. A natural person is born as a result of the working of law of nature and also dies in the same way. However, when a corporation has to be created , an application has to be made to some office set up for that purpose by law. In the case of joint stock company , the application is made to the Joint Stock Companies. 

A corporation can also be created by means of a Royal Charter of an Act of parliament. This was done n the case of the English East India Company. In the same way the municipal corporations can be set up. A corporation also comes into existence by prescription. The same is the case with regard to the dissolution of corporation. 

A corporation can be declared defunct when it stops doing its business. Its charter can be forfeited. It can voluntarily surrender its charter or the privileges granted to it. A natural person can act himself . It is not binding on a natural person to get his work done through others. 

However, in the case of a corporation , it is absolutely essential that it must act through its agents. Moreover a natural person can do whatever he pleases .There is no restriction on what he can do and what he can not do. However in the case of a corporation, its powers are defined in the instrument when the corporation is created. 

A limited company can not go beyond the terms of its memorandum of association. Even if all the shareholders of a company agree , they can not do a thing which is beyond the terms of the memorandum of association. However the memorandum of association itself can be changed.