"Members may come and go, but the company continues. Even an atom bomb can't end a company".
Which feature of a company is highlighted in the above statement?
"Members may come and go, but the company continues. Even an atom bomb can't end a company".
Which feature of a company is highlighted in the above statement?
Solution
✅ Correct Option: 4
The statement stresses that the company's existence is unaffected by changes in membership, including death, insolvency or exit of members. That continuity of existence until the company is wound up by law is the feature of perpetual succession.
Separate legal entity, by contrast, refers to the company being a person distinct from its members, which is a related but different idea.
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