What is LEGAL ENTITY?

A lawful or legally standing association, corporation, partnership, proprietorship, trust, or individual. Has legal capacity to (1) enter into agreements or contracts, (2) assume obligations, (3) incur and pay debts, (4) sue and be sued in its own right, and (5) to be accountable for illegal activities.

More On This Topic




Link to This Definition

Did you find this definition of LEGAL ENTITY helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary