De Facto Dissolution Law and Legal Definition

De Facto Dissolution is that dissolution of a corporation which takes place, in substance and in fact, in the case of corporations organized for pecuniary gain, when the corporation, by reason of insolvency or for other reason, suspends all its operations and goes into liquidation. [Youree v. Home Town Mut. Ins. Co., 180 Mo. 153, 164 (Mo. 1904)]