Which statements are true about theories of corporate personality? (A) Fiction theory says only human…
Fiction theory treats only human beings as true persons, concession theory grants corporate personality only by law, the bracket or symbolist theory regards the members as…
Choose your answer
Which statements are true about theories of corporate personality?
(A) Fiction theory says only human beings can be properly called persons.
(B) Concession theory states that corporate bodies have legal personality only if granted by law.
(C) Fiction theory is also called 'Organic Theory.'
(D) Symbolist or Brackets Theory says members of corporations are the only persons who have rights and duties.
(E) Savigny, Salmond, and Dicey support Fiction Theory.
Answer and explanation
Correct answer D
Fiction theory treats only human beings as true persons, concession theory grants corporate personality only by law, the bracket or symbolist theory regards the members as the real right-holders, and Savigny, Salmond and Dicey support fiction theory, so the answer is "(A), (B), (D), (E) Only". Fiction theory is not the 'organic theory'.
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