Question

Bob and Shirley attempted to form a corporation for the restaurant Bob & Shirley's. Bob and Shirley inadvertently failed to file the article of incorpration. Can they still be treated as a corporation? If yes, how and in which situations?

Answer 1

yes , Bob & Shirley's will be treated as de facto corporation.

A de facto corporation is one that only fell short in some filing issues which prevented it from getting registered but a good faith was put into the efforts to it registered as corporation.

Until the time Bob & shirley file the article of association, all the transactions or for other purposes ,this will still be considered corporatioj under de facto rule.

After they file the articles ,it will be called de jure corporation which basically translates to corproation by law.