.NET Remoting uses a flexible and extremely extensible architecture. Remoting uses the .NET concept of an Application Domain (AppDomain) to determine its activity. An AppDomain is an abstract construct for ensuring isolation of data and code, but not having to rely on operating system specific concepts such as processes or threads. A process can contain multiple AppDomains but one AppDomain can only exist in exactly one process. If a call from program logic crosses an AppDomain boundary then .NET Remoting will come into place. An object is considered local if it resides in the same AppDomain as the caller. If the object is not in the same appdomain as the caller, then it is considered remote.
In .NET remoting, the remote object is implemented in a class that derives from System.MarshalByRefObject. The MarshalByRefObject class provides the core foundation for enabling remote access of objects across application domains. A remote object is confined to the application domain where it is created. In .NET remoting, a client doesn't call the methods directly; instead a proxy object is used to invoke methods on the remote object. Every public method that we define in the remote object class is available to be called from clients.