Corporate Charter

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Definition of 'Corporate Charter'

A corporate charter is a legal document that establishes a corporation as a separate legal entity from its owners. It defines the corporation's purpose, its powers, and its structure. The charter also sets forth the rights and responsibilities of the corporation's shareholders and directors.

A corporate charter is typically filed with the state in which the corporation is formed. The state's corporate law will set forth the specific requirements for a corporate charter. In general, a corporate charter must include the following information:

* The corporation's name
* The corporation's purpose
* The corporation's authorized capital stock
* The corporation's initial directors and officers
* The corporation's registered agent

The corporate charter is an important document that establishes the basic framework for the corporation. It is a public document that is available for inspection by anyone.

Once a corporation is formed, its shareholders may amend the corporate charter by following the procedures set forth in the charter and the state's corporate law. Amendments to the corporate charter may be necessary to reflect changes in the corporation's business, its structure, or its ownership.

The corporate charter is a key document in the formation and operation of a corporation. It is important to understand the contents of the corporate charter and the procedures for amending it.

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