In short, the Freemen believe that The United States (along with several other countries) is operating under Admiralty/Maritime Law (which is used for Shipping, Banks and Corporations) as opposed to Civil Law (which is used for our countries’ citizens). The apparent proof that they claim to have of this, is the corporate status of the United States (more on that later) the gold fringe on our American Flag and the pseudo-legal definition of a person all somehow put our country under admiralty jurisdiction.
Another misconception is that Common Laws are the only real laws that Freemen have to obey. They are convinced that statutes are not laws and therefore, do not need to be obeyed.
The theory, in a nutshell, suggests that we are owned and operated as a bankrupt nation; by the IMF and that our income taxes are (not only unconstitutional) actually paying tribute to the Queen of England. Furthermore, they believe that our birth certificates render us as property of the UNITED STATES OF AMERICA, INC. because any legal document with your name in all capital letters (i.e.: JOHN DOE) represents a loss of personal liberty and submission to another’s will.
The theory claims that your name in all capital letters represents a “corporation” (aka legal person), whereas your name in lower case lettering represents a “natural person” (you). One of the arguments a freeman will tell you is that you are not a person, but you have a person, or more specifically you have a corporation. This is partially true, but we’ll explain how this is misinterpreted in the second half.
Essentially, they believe that if you agree to allow your birth certificate to represent you (which contains your name in all capital letters) then you agree to forfeiting your constitutional rights and therefore have willingly accepting the status of a corporation, which (again, according to the theory) reduces your rights to that of a debt slave.
http://www.examiner.com/x-23787-Denver-Skepticism-Examiner~y2009m10d7-The-Freeman-on-the-Land-myth-Debunked