Association: Overview, definition, and example
What is an association?
An association is a group or organization formed by individuals or entities with a common interest or purpose. Associations are typically created to promote and protect the interests of their members, such as in trade, professional development, social causes, or community activities. They can vary in size and structure, ranging from informal clubs or societies to formal, legally incorporated entities. Members of an association may collaborate, share resources, and support each other in achieving collective goals, whether those goals are educational, economic, social, or political.
For example, a professional association for doctors might be created to advocate for the medical profession, provide resources for continuing education, and support policy changes in healthcare.
Why is an association important?
Associations are important because they provide individuals and entities with a platform to collectively address common challenges and opportunities. They enable members to access resources, share knowledge, and influence policies or regulations that impact their industry or community. Associations can also offer a sense of belonging and solidarity among like-minded people. In business, industry associations help set standards, offer networking opportunities, and drive advocacy efforts, while social or charitable associations play a critical role in community support and public awareness.
Understanding association through an example
Let’s say a group of software developers creates an association to support the growth and recognition of their profession. The association might organize conferences, offer certifications, and advocate for policies that benefit software developers. Members can use the association as a resource for career development, networking, and finding solutions to challenges that affect their industry.
In another example, a homeowners' association is formed in a residential community to maintain common areas, set rules for property upkeep, and mediate disputes between neighbors. The association ensures that the neighborhood runs smoothly and that the interests of the homeowners are represented.
An example of an association clause
Here’s how an association clause might appear in a contract or agreement:
“The Parties agree to establish an association for the purpose of promoting mutual interests, sharing resources, and supporting industry best practices. The association shall be governed by a board of directors, and all members are required to adhere to the rules and regulations set forth by the governing documents.”
Conclusion
An association is a group of individuals or entities who come together for a shared goal or purpose. Whether for professional, social, or community-oriented objectives, associations provide a framework for collaboration, advocacy, and mutual support. They play an essential role in promoting common interests, advancing professional development, and addressing collective needs, offering members a sense of community and access to valuable resources.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.