Look at your own words - "owned and run by." But WHAT is "owned and run by?" What is that THING that is owned and run? Is it a business?
NO.
It is a corporation, a LEGAL ENTITY, that is created to DO business by having human beings own and run it. A corporation is a thing in it's own right, under the law. And it is that thing - and that thing ONLY - that is subject to the laws.
And that means that if people work in order to own and run that thing, and do business THROUGH that thing, then they can be treated as "corporate individuals" and LOSE THEIR RIGHTS - and accept the limitations of corporate privilege and corporate law.
In return, they get a certain level of indimnification from the corporation. That's the deal they VOLUNTEER to accept.
sole proprietor
partnership
llc
corporation
ect...
all they are are ways of structuring ones business. In many cases for the sole reason of limiting liability.
I see no compelling reason that someone who owns a widget factory who incorporates it has any fewer rights than he would if he ran it has a sole proprietorship.