de facto corporation
noun[C]
ukusin the US, acorporationthat isallowedtocontinuetoexist,althoughit has not beenofficiallymade acorporationbylaw:
Thecourtfoundthat, when apersonbuysstockof a defactocorporation, he cannotavoidpaymentbyshowingthat thecorporationwas notlegallyorganized.