b

Jackson That's what I mean. Though the officers of the company supervise daily management, the stockholders always have final authority. They vote at annual meetings.

Steve Yes, I see it. By the way, does a corporation have limited liability?

Jackson It does. It also has the right to own property, to buy and sell and right to sue and be sued.

Steve I see. The corporation acts like a person. It has the right of an individual.

Jackson You are right.

Steve O.K. Why don't we get together for a game of golf one day next week?

Active Vocabulary

ylaws

I need some legal advice to incorporate to invest to expand

to follow a legal procedure to apply for a corporate charter

to issue and sell stock in exchange for investment capital

stockholder, shareholder

to hold a meeting

to elect a board of directors

to choose the company's officers

to have a final authority

to supervise daily management

to vote

annual meeting

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юридические положения для предприятий мне нужен юридический совет соединяться, объединяться вкладывать деньги расширяться (о производстве) следовать юридической процедуре

подавать заявление на корпоративный патент выпускать и продавать акции взамен на вложенный капитал

акционер, держатель акций проводить собрание проводить собрание директоров

выбирать административных

исполнителей компании

иметь решающее слово

осуществлять ежедневное

руководство

голосовать

ежегодное собрание

to have limited liability иметь неограниченную

юридическую ответственность to own property владеть собственностью

^ío sue возбуждать судебное дело

to be sued подвергаться судебному

разбирательству

Vocabulary Exercises

Exercise 1. Transform the sentences according to the model

Model: We are the company officers.

We supervise daily management.

We, as the company officers, supervise daily

management.

1. My friends are the stockholders of IBM corporation. They hold annual meetings.

1. These businessmen are the organizers of this corporation. To issue and sell stock in exchange for investment capital.

2. A corporation is the owner of the property. It has limited liability.

4. Dick is a manager. He wants to form a corporation.

5. A corporate charter is a certificate of incorporation. A charter is granted by a state officer.

6. The stockholders are the owner of the corporation. They have final authority in management of the company.

7. The owners of the corporation are the stockholders. The owners of the corporation must vote.

Exercise 2. Transform the sentences according to the model.

Model: We organized our corporation a year ago (to invest much money).

We have been investing much money since we organized our company.

1. They became company officers (to supervise daily management).

1. My friend bought the stock of the company five years ago (to make money).

2. They received the corporate charter a month ago (to plan a meeting).

3. We advertised the application last week (wait for reply).

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5. He became a member of the Board of Directors (work hard).

6. We elected a new Board of Directors last month (plan change).

Exercise 3. Answer the questions.

1. In what corporation would you invest money?

2. What legal procedure do you have to follow if you want to form a corporation?

3. Who has final authority and supervises the daily management of a corporation?

4. How often do the stockholders choose the company officers?

5. The stockholders have unlimited liability, don't they?

6. In what way can a corporation act?

7. What do you think about the possibilities of forming corporations in this country?

8. In what spheres of industry is a corporate form of proprietorship the most beneficial in this country?

Exercise 4. Translate into English.

1. Корпорация может выпускать и продавать акции.

1. Корпорация может предлагать более высокую зара­ботную плату.

2. Корпорация имеет больше возможностей для вовлече­ния финансовых ресурсов, чем партнерство.

3. Каждый год акционеры проводят собрание.

4. Образовательные, благотворительные, религиозные

учреждения могут быть корпорациями. Подобные учрежде­ния, как правило, не приносят прибыль.

6. Эта корпорация прибыльна, она будет расширяться.

7. Сначала вы должны подать заявление на корпоратив­ный патент.

8. Акционеры имеют решающее слово в управлении кор­порацией.

9. Административные исполнители кампании осуществ­ляют постоянное руководство.

10.Владельцы акций проводят ежегодное собрание и вы­бирают совет директоров.

11 .Корпорация имеет право возбуждать уголовное дело.

Exercise 5. Make up the dialogue.

1. Ask a lawyer how to form a corporation.

2. Discuss with your friend advantages and disadvantages of a corporate form of proprietorship.

3. Advertise a corporate form of proprietorship.