3.
The answer is: D
Explanation
The correct option is D: Legal personality.
Legal personality is the concept that a person or entity has rights and duties under the law. A legal person can own property, enter into contracts, sue and be sued, and enjoy legal protection. Legal personality is not limited to natural persons (human beings), but can also be attributed to artificial persons (corporations, institutions, funds, etc.) by a legal fiction. A legal fiction is an assumption and acceptance of something as fact by a court, although it may not be true, to allow a rule to operate or be applied in a manner that differs from its original purpose while leaving the letter of the law unchanged.
The fiction theory of corporate personality is one of the theories that explain how artificial persons are given legal personality by the law. According to this theory, a corporation exists only as an outcome of fiction and metaphor. The personality that is attached to the corporation is done purely by legal fiction. The legal person is created only in the eyes of the law for a specific purpose. The theory was propounded by Savigny and backed by Salmond and Holland.