What term describes individuals who group together for a purpose without forming an organization, where members are jointly and severally liable?

• A. Unincorporated association
• B. Real estate syndicate
• C. Corporate for profit
• D. Not-for-profit corporation

Answer: (A)

An unincorporated association describes a group of individuals who come together to pursue a common purpose without creating a separate legal entity. Because there’s no distinct organization structure with its own legal personality, the group’s obligations fall directly on the members. That means liability is joint and several: each member can be held responsible for the full amount of the group's debts or obligations, not just a share. This contrasts with entities like corporations or organized business ventures, which create a separate legal entity that can incur liability apart from its members. So the term fits best here because it captures both the lack of formal incorporation and the personal, cross-member liability that results.