Ultra Vires Acts


DEFINITION of 'Ultra Vires Acts'

Any act that lies beyond the authority of a corporation to perform. Ultra Vires acts fall outside the powers that are specifically listed in a corporate charter or state law. They can also be any action that is specifically prohibited by the corporate charter.

BREAKING DOWN 'Ultra Vires Acts'

Ultra Vires acts can also be defined as any excessive use of corporate power that has been granted. These acts cannot be legally defended in court. They will, in fact, leave the corporation vulnerable to lawsuits by employees or other parties.

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    A set of documents filed with a government body to legally document ...
  2. De Jure Corporation

    A business that has fulfilled its requirements for formation ...
  3. Charter

    A legal document that provides for the creation of a corporate ...
  4. Incorporation

    The process of legally declaring a corporate entity as separate ...
  5. Corporation

    A legal entity that is separate and distinct from its owners. ...
  6. Corporate Charter

    A written document filed with a U.S. state by the founders of ...
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