Joint stock company

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Joint stock company

A form of business organization that falls between a corporation and a partnership. The company sells stock, and its shareholders are free to sell their stock, but shareholders are liable for all debts of the company.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Joint Stock Company

A company that issues stock and requires shareholders to be held liable for the company's debt. In other words, a joint stock company combines features of a general partnership, in which owners of a company split profits and liabilities, and a publicly-traded company, which issues stock that shareholders are able to buy and sell on an exchange. See also: Publicly-traded partnership.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
According to Article 85, paragraph 1 of the Companies Act passed in 1989, a joint stock company is defined as a company that raises funds for its establishment and operation by issuing shares.
* A joint stock company is such a company whose equity is pre-determined and divided into equal parts-transferable shares

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