ARTIFICIAL PERSONS Meaning and
Definition
-
Artificial persons refer to legally recognized entities or entities with certain legal rights and obligations that are not natural persons or human beings. They are non-human entities, such as corporations, organizations, governments, or partnerships, that are treated as individuals by the law to conduct legal and business activities.
An artificial person has the capacity to enter into contracts, own property, sue or be sued, and engage in legal transactions just like a natural person. These entities are granted legal personality to protect the rights and interests of their members or owners and facilitate their functioning within the legal framework.
Artificial persons are created through a legal process, such as incorporation or registration, which gives them legal standing and the ability to operate and be regulated in society. They can be subject to rights and liabilities, pay taxes, and participate in legal disputes.
The concept of artificial persons is crucial for modern economies as it enables organizations to engage in commerce, enter into agreements, employ individuals, and assume legal responsibilities. It also provides a means to limit the liability of owners or shareholders, allowing them to separate their personal assets from those of the entity.
The legal recognition of artificial persons ensures a clear separation between the individual identities of the entity and its members or shareholders, thereby providing a legal framework for diverse commercial and social interactions.
Etymology of ARTIFICIAL PERSONS
The etymology of the term "artificial persons" can be traced back to the Latin root words "artificium" and "persona".
The word "artificium" is derived from "ars" meaning "art" or "skill" and "facere" meaning "to make". It originally referred to the craftsmanship or skill involved in creating something.
The word "persona" originated in ancient Greece, where it was used to describe the masks worn by actors in theatrical performances. Over time, it came to represent the character or role played by an individual, both in theater and in real life.
When combined, "artificium" and "persona" form the concept of "artificial persons". This term describes entities or beings that are created or constructed by human artifice or skill, often referring to legal entities such as corporations, organizations, or other non-human entities that possess certain legal rights and obligations.
