Joint Control

Brief Definition

Joint control refers to a situation where two or more parties share control over a business or project. Joint control is common in joint ventures and certain partnerships, ensuring that no single party can unilaterally dictate the direction of the business.

Further Explanation

Joint control refers to a situation where two or more parties share control over a business or project. This means that all parties involved must unanimously agree on key decisions related to the activities of the venture. Joint control is common in joint ventures and certain partnerships, ensuring that no single party can unilaterally dictate the direction of the business.

Example:
Imagine two companies, A and B, forming a joint venture to develop a new technology. Both companies contribute resources and expertise, and they agree that any major decisions, like budget approvals or strategic changes, require mutual consent. This ensures that both companies have equal say in the operation and management of the joint venture.