Simple definition
A company owned or controlled by another company.
Corporate
What Does Subsidiary Mean?
A company owned or controlled by another company.
Example in a contract
A contract may use “subsidiary” when describing a company owned or controlled by another company.
What subsidiary means in a contract
In a contract, this term should be read in the context of the surrounding clause, defined terms, cross-references, and governing law.
Why it may matter
Its practical effect depends on the exact wording and how it connects to the rights and obligations elsewhere in the agreement. Review the exact language rather than relying on the label alone.
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FAQ
Questions about subsidiary.
What does subsidiary mean in plain English?+
A company owned or controlled by another company.
Where might subsidiary appear in a contract?+
In a contract, this term should be read in the context of the surrounding clause, defined terms, cross-references, and governing law.
Is this definition legal advice?+
No. ClauseInsight provides concise informational explanations. The legal effect of a term depends on the complete document, facts, and applicable law.