Understanding the Concept and Theory of Society
Understanding the Concept of Society
From a broader perspective, society may be defined as a voluntary legal relationship in which two or more persons are obliged to pool money, property, or industry to perform a common activity. The common goal pursued by the society may or may not have a profit. Although its legal nature has been intensely debated, the doctrine falls to mainstream society as a special contract, noted to be characterized as a contract of organization, as its basic purpose is to create an organization that tends to the embodiment to achieve legal status. Such a legal entity under the contract may acquire the status of employer, without partners.
General Theory of Society as a Contract
A corporation can be analyzed from different perspectives:
- This is a contract that allows linking different partners and working group capital for the realization of a common activity that, in general, members are unable or unwilling to undertake individually.
- Establishment of a company whose ownership corresponds to the legal person that is born of society and that functionally is intended to achieve its object.
- The corporation acts cause of the subsequent birth of a legal person (businessman trade group) other than partners, whose perfection differs from the social type in question. A person born with a unique personality separate from the partners and, therefore, to heritage home so different from the partners who have given birth.
Since its contractual perspective, the partnership agreement is characterized as a plurilateral agreement and a contract of organization:
- It is a plurilateral agreement because it involved, in general, two or more parties that have conflicting interests and a community of purpose. However, since the 1995 reform of both the SA and the SL can be formed by a single person, whether natural or legal person (sole proprietorship). In this case, this is a unilateral legal transaction consists of the statement of intention of the person as a partner wants to be the sole proprietorship.
- He is a contract of organization, which aims to create a specific organization with a heritage area and separate autonomous the partner (incorporating one’s own heritage and its own legal personality).
Essentials of a Contract Company
As in other contracts, the essentials are consent, object, and cause.
Consent
The parties to give consent should be capable of contributing, according to general rules of common law. If consent was given by mistake, fraud, violence, or intimidation, it is void, but the nullity of the consent given by a shareholder does not invalidate the partnership agreement, unless that partner’s contribution was essential for the development of society.
Purpose
We must distinguish between the object of the partnership agreement and subject to the obligations of the partners: The purpose of the partnership agreement would be the obligations that it creates for partners that can be translated as a general duty to promote the common good society. It thus includes not only the obligation to contribute money, property, or industry to society arises, but also other additional duties such as fidelity or loyalty to society. The object of the obligations of the partner mainly deals with the duty to contribute to society. The contribution committed by each of the partners are fixed and delimited in the contract and its nature depends on the type of company concerned. Members can also make a contribution to society by way of ownership or title of mere use.
Cause
The cause of the partnership agreement consists of the activity or activities of the society to achieve their common goal. The common goal should not necessarily be lucrative; it is economic and social order that the parties seek to provide the contract. The root of the contract must be lawful and must be included in the contract.