Legal Definitions - declaration date

The declaration date refers to the specific calendar day on which a formal statement, decision, or action is officially announced or made public. This date is legally significant because it often marks the beginning of a legal obligation, the start of a specific timeline, or the official commencement of a particular status.

• Example 1: Corporate Dividend Announcement

  Imagine a publicly traded company, "Global Innovations Inc.," holds a board meeting where its directors decide to pay a cash dividend to its shareholders. The board formally votes on and approves this decision on October 15th. This October 15th would be the declaration date for that dividend.

  How it illustrates the term: This date is when the company officially announces its intention to pay a dividend, creating a legal obligation to its shareholders, even though the actual payment will occur later. Subsequent dates, like the record date (who is eligible) and payment date (when it's paid), are all set relative to this initial declaration.

• Example 2: Filing for Bankruptcy

  Consider an individual, Sarah, who is struggling with overwhelming debt and decides to file for personal bankruptcy. She completes all the necessary paperwork and submits her petition to the bankruptcy court. The court clerk officially stamps and records her petition on March 10th.

  How it illustrates the term: March 10th is the declaration date for Sarah's bankruptcy. This date is critical because it legally initiates the bankruptcy proceedings, triggers an "automatic stay" preventing creditors from pursuing collection actions, and establishes the starting point for various legal timelines within the bankruptcy process.

• Example 3: State of Emergency

  Following a severe winter storm that causes widespread power outages and dangerous road conditions, the Governor of a state issues an executive order formally declaring a state of emergency for several affected counties. This executive order is signed and publicly released on January 20th.

  How it illustrates the term: January 20th is the declaration date for the state of emergency. This date is important because it immediately activates emergency powers for the governor, allows for the deployment of specific resources, and often triggers special rules or funding mechanisms to assist the affected areas.