A more thorough explanation:

A stock association is a type of joint-stock company where individuals contribute capital by buying shares. Each member's investment is represented by the number of shares they own. The liability of each shareholder is limited to the amount they invested. A stock association is an unincorporated business enterprise with ownership interests represented by shares of stock.

For example, a group of individuals may come together to start a business and form a stock association. Each member contributes capital by buying shares, and the business is run by a board of directors elected by the shareholders. The liability of each shareholder is limited to the amount they invested, so they are not personally responsible for any debts or losses incurred by the business.

Another example is a mutual insurance company, which is a type of stock association where the policyholders are also the owners. The company is run by a board of directors elected by the policyholders, and any profits are returned to the policyholders in the form of dividends or lower premiums.

In summary, a stock association is a type of joint-stock company where individuals contribute capital by buying shares, and the liability of each shareholder is limited to the amount they invested.