Formation
/fɔːrˈmeɪʃən/
Definitions
- (n.) The act of legally creating a business entity or organization.
The formation of the corporation was completed last week.
- (n.) The process by which a contract or legal agreement is established.
Contract formation requires offer, acceptance, and consideration.
Forms
- formations
Related terms
See also
Commentary
Often used in corporate and contract law, 'formation' denotes the initial establishment phase; clarity in context helps distinguish entity creation from contract formation.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.