Legal Question in Civil Litigation in Maryland

Corporate Name

I signed a contact with a company tht used a corporate name ''abc company, LLC'' but they never took the step to actually incorporate. Since the corperation does not exist, is it a binding agreement?


Asked on 6/18/08, 10:31 am

2 Answers from Attorneys

Glenn M. Lyon, Esq. MacGREGOR LYON, LLC, Business Attorneys

Re: Corporate Name

You might also be able to bind the signer personally under pre-incorporation liability principals.

If you would like to discuss any issues further, please feel free to contact my office. My contact information is below. Thank you.

The foregoing is general information only, not specific legal advice. No attorney/client relation has been created or should be implied.

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Answered on 7/10/08, 10:46 am
Robert Sher Wagshal and Sher

Re: Corporate Name

First of all, the "company" is not a corporation. The LLC designation stands for limited liability company. That said, an LLC has to be properly chartered by the state just like a corporation, and if this company was not properly registered at the time the contract was signed, the contract would not be binding. If you provided something of value to this company and haven't been paid or received what the contract entitled you to, you could sue the principals of the company as individuals to get what you are entitled to. If nothing has been done on the contract, and you want to get out of it, you have a valid defense if they try and enforce it.

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Answered on 6/18/08, 12:10 pm


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