Mochibun kaisha explained

are a class of corporations under Japanese law.^[1] While mochibun kaisha have legal personality as corporations, their internal functions are similar to partnerships, as they are both owned and operated by a single group of .

Types

There are three types of mochibun kaisha:

• Gōmei gaisha, in which all members have unlimited liability for the company's debts (similar to a general partnership)
• Gōshi gaisha, in which some members have unlimited liability and some have limited liability (similar to a limited partnership)
• Gōdō gaisha, in which all members have limited liability (very similar to a U.S. limited liability company)

Mochibun kaisha are formed by preparing articles of incorporation and depositing the articles with a local Legal Affairs Bureau.

The Japanese civil code also provides for, a different type of business organization. Civil code partnerships lack legal personality and are mainly used for investment funds and professional firms.

See also

• Kabushiki kaisha
• Yugen kaisha

Notes and References

1. Book: Nottage, Wolff & Anderson . Corporate governance in the 21st century: Japan's gradual transformation. Luke Nottage . Leon Wolff . Kent Anderson . 2008. Edward Elgar Publishing. 978-1-84720-923-8. 121.