What is a 'body corporate' in legal terms?

In legal terminology, a 'body corporate' refers to a legal entity that is recognized by law as having a distinct identity, separate from its members. This means it can enter into contracts, sue, and be sued in its own name. This characteristic of being seen as one person allows a body corporate to own property, incur debts, and limit the liability of its members.

This concept is fundamental in various business structures, such as corporations or companies, which operate as single economic units, thus providing a framework for efficient management and control of assets and liabilities. By acting as one entity, a body corporate facilitates clearer accountability and structured governance.

The other options do not encapsulate the legal definition of a body corporate. A team of legal advisors refers to professionals providing legal counsel, while a group of stakeholders implies a collection of interested parties but does not define a legal entity. An informal partnership lacks the formal recognition and legal structure that constitutes a body corporate.