Law »Fact Society

Definition of a Partnership

When thinking about a society, the first thing that comes to mind is the encounter and coexistence of people, so the main characteristic of a society is the grouping of two or more individuals in order to achieve an objective. Since the human being needs to fill many needs, the objectives can be both social, economic and political.

Why a society "in fact"?

One of the most common distinctions regarding any type of action is that of: de facto-deed and de jure, these two classifications determine when an element acts in accordance with the law and when, on the other hand, it acts without legal recognition but with equal validity. So, a de facto society is that society that de facto brings together a group of people in order to achieve a goal, and without any explicit contract stipulating the rules in the association ; but that will not appear in the administration as a society, as the anonymous, collective ...

The agreement between the people who constitute it is consensual and without any legal-administrative procedure

Although this condition of society `` in fact '' does not concern any specific legal system to the group, it does take into account the state administration and regulates them by applying some `` rules of the game '' to this society in fact.

Particularities of de facto society

The de facto societies, without being attached to any type of mercantile society, themselves at the end of the day become a same type, with their consequent characteristics:

- A partner that constitutes the company can choose to dissolve the society when it pleases and without consensus.

- The representation of the company can be carried out by any partner.

- They have limited capacity insofar as they are prohibited from having real estate or personal property in their name.

Why choose a de facto society?

When constituting a company in fact, we face several difficulties such as the difficult access to external financing, the prohibition of having assets in your name, but nevertheless, many other advantages favor the creation of these companies.

Among them the most important and the one that usually decant the balance is the easy inscription, which in a totally bureaucratic world, reduces administrative expenses exponentially and propitiates the creation of these societies without having to have a large capital. And finally, given the lack of legal-administrative support, this society has more freedom with respect to schedules, regulation or state control.

Photos: iStock - yuoak / Christopher Futcher

Author: Javier Navarro | Site: - definition | Date: July 2016 | URL: /derecho/sociedad-hecho.php