What is "joint-stock company"

Joint \Joint\ (joint), a. [F., p. p. of joindre. See Join.]

1. Joined; united; combined; concerted; as, joint action.

2. Involving the united activity of two or more; done or produced by two or more working together.

   I read this joint effusion twice over.
   --T. Hook.

3. United, joined, or sharing with another or with others; not solitary in interest or action; holding in common with an associate, or with associates; acting together; as, joint heir; joint creditor; a joint bank account; joint debtor, etc. ``Joint tenants of the world.''
   --Donne.

4. Shared by, or affecting two or more; held in common; as, joint property; a joint bond.

   A joint burden laid upon us all.
   --Shak.

   Joint committee (Parliamentary Practice), a committee composed of members of the two houses of a legislative body, for the appointment of which concurrent resolutions of the two houses are necessary.
   --Cushing.

   Joint meeting, or Joint session, the meeting or session of two distinct bodies as one; as, a joint meeting of committees representing different corporations; a joint session of both branches of a State legislature to chose a United States senator. ``Such joint meeting shall not be dissolved until the electoral votes are all counted and the result declared.''
   --Joint Rules of Congress, U. S.

   Joint resolution (Parliamentary Practice), a resolution adopted concurrently by the two branches of a legislative body. ``By the constitution of the United States and the rules of the two houses, no absolute distinction is made between bills and joint resolutions.''
   --Barclay (Digest).

   Joint rule (Parliamentary Practice), a rule of proceeding adopted by the concurrent action of both branches of a legislative assembly. ``Resolved, by the House of Representatives (the Senate concurring), that the sixteenth and seventeenth joint rules be suspended for the remainder of the session.''
   --Journal H. of R., U. S.

   Joint and several (Law), a phrase signifying that the debt, credit, obligation, etc., to which it is applied is held in such a way that the parties in interest are engaged both together and individually thus a joint and several debt is one for which all the debtors may be sued together or either of them individually; used especially in the phrase joint and several liability.

   Joint stock, stock held in company.

   Joint-stock company (Law), a species of partnership, consisting generally of a large number of members, having a capital divided, or agreed to be divided, into shares, the shares owned by any member being usually transferable without the consent of the rest.

   Joint tenancy (Law), a tenure by two or more persons of estate by unity of interest, title, time, and possession, under which the survivor takes the whole.
   --Blackstone.

   Joint tenant (Law), one who holds an estate by joint tenancy. Contrassted with tenant in common.

n. 1 (context business legal UK English) A company with transferable ownership interests and limited shareholder liability. 2 (context business legal US English) A company with transferable ownership interests and unlimited shareholder liability.

n. a company (usually unincorporated) which has the capital of its members pooled in a common fund; transferable shares represent ownership interest; shareholders are legally liable for all debts of the company

A joint-stock company is a business entity where different stocks can be bought and owned by shareholders. Each shareholder owns company stock in proportion, evidenced by his or her shares (certificates of ownership). This allows for the unequal ownership of a business with some shareholders owning a bigger proportion of a company than others do. Shareholders are able to transfer their shares to others without any effects to the continued existence of the company.

In modern-day corporate law, the existence of a joint-stock company is often synonymous with incorporation (i.e. possession of legal personality separate from shareholders) and limited liability (meaning that the shareholders are only liable for the company's debts to the value of the money they invested in the company). As a consequence, joint-stock companies are commonly known as corporations or limited companies.

Some jurisdictions still provide the possibility of registering joint-stock companies without limited liability. In the United Kingdom and other countries which have adopted their model of company law, these are known as unlimited companies. In the United States, they are known simply as "joint-stock companies".