Kentucky Pre-incorporation Agreement of Professional Corporation of Attorneys

State:
Multi-State
Control #:
US-01944BG
Format:
Word
Instant download

Description

A corporation may be organized for the business of conducting a profession. These are known as professional corporations. Doctors, attorneys, engineers, and CPAs are the types of profes¬sionals who may form a professional corporation. Usually there is a designation P.A. or P.C. after the corporate name in order to show that this is a professional association or professional corporation.


This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.

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FAQ

In general, the pre-contractual phase can be defined as the process of negotiation that leads to the conclusion (or non-conclusion) of a contract. From this phase, some legal consequences may arise.

An essential aspect of PICs under the Act would be that the contract would need to be ratified within three months after incorporation. Ratification simply means that the company elects to approve the terms and obligations of the agreement formally. This can either be fully, partially or conditionally.

This type of agreement is usually made between the individuals (often referred to as promoters) involved in setting up the corporation. The purpose of a pre-incorporation agreement is to set forth the corporation's plans and each promoter's responsibilities during the incorporation process.

There are various types of pre-incorporation contracts that can be made by a company ing to their need before incorporation, such as a lease agreement, employment agreement, founder's agreement, shareholder agreement, etc.

The principle posits that before the incorporation the company cannot be in existence, and if it is not in existence, then the contract which the unformed company signed would also be not in existence.

: existing or occurring before the formation of a corporation. the preincorporation period/process. preincorporation expenses. a preincorporation contract.

Promoters are generally held personally liable for pre-incorporation contract. If a company does not ratify or adopt a pre-incorporation contract under the Specific Relief Act, then the common law principle would be applicable and the promoter will be liable for breach of contract.

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Kentucky Pre-incorporation Agreement of Professional Corporation of Attorneys