De Facto

To proceed with an action without legal authority but may be recognized as legally valid. De Facto may apply to a company that operates as a corporation even though they may have not taken the steps or documentation to become incorporated. In some cases, courts will treat the company as though it were legal to protect those who believed the business was legal.

Related Terms

S Corporation C-Corporation Articles of Incorporation

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Rebecca Cox

Rebecca is a seasoned international traveler and Digital Marketing Specialist who assists in marketing strategies and creative development for FundingSage. She is currently studying her postgraduate degree in Advanced International Business Management from UC Leuven-Limburg.