Final answer:
The question refers to the exemption of entities that meet the definition of a private corporation from most legal requirements. Private companies, including sole proprietorships, partnerships, and corporations without public stock, enjoy benefits like limited liability, encouraging entrepreneurship and investment.
Step-by-step explanation:
The question is inquiring about certain types of entities that may be exempt from a majority of legal requirements once they fulfill the criteria for being a private corporation. A private company may be run by individuals, in forms such as a sole proprietorship or a partnership, or may be organized as a corporation without publicly issued stock. The significant advantage of a corporation is the liability protection it offers to its owners, allowing them to take business risks without fearing personal financial or legal repercussions beyond their investment in the company. Large private corporations like Cargill, Mars, and Bechtel exemplify successful businesses with substantial revenues that operate without publicly issued stock.