Category Archives: Terminology

A provision in a contract in which one party agrees not to conduct a certain type of business for a specified time period in a certain geographic area. These provisions are common in employment agreements, franchise agreements and contracts for the sale of businesses.

A body that is granted a charter recognizing it as a separate legal entity having its own rights, privileges, and liabilities distinct from those of its members.

A corporation with profits taxed separately from its owners. The name derives from subchapter C of the Internal Revenue Code which governs the taxation of this type of corporation. C- corporations do not have limitations on the number of shareholders. All publically traded corporations are C- Corporations. A C corporation differs from an S corporation, whose profits are passed through to shareholders and taxed at the personal rates of the shareholders. S corporations have limits on the numbers and types of shareholders.

An agreement between two or more parties that creates in each party a duty to do or not do something and a right to performance of the other’s duty or a remedy for the breach of the other’s duty.

The written rules for governing the operation of a corporation or organization.

A document filed with the state to form a limited liability company, or L.L.C.

The basic charter of a corporation which spells out the name, basic purpose, incorporators, amount and types of stock which may be issued, and any special characteristics of the corporation. Articles must be signed by the incorporating person. A corporation’s existence begins when its articles of incorporation are filed with the Missouri Secretary of State.

A document by which a person provides instructions for the disposition of his or her property upon their death.

A uniform law adopted by most states which provides for the means of making a gift in trust to minors. The Act includes statutory methods for managing such gifts. The Act replaces the Uniform Gifts to Minors Act.

An interest or right in property, in which the tenant has an equal right to use and enjoy the entire property.