HOW TO SIGN A CONTRACT FOR A COMPANY AND AVOID PERSONAL LIABILITY

HOW TO SIGN A CONTRACT FOR A COMPANY AND AVOID PERSONAL LIABILITY

Signing a contract for a company is not a casual act. It is a serious legal step that must be done properly or corporate law may treat the Contract as your personal obligation.

To safely sign a company’s contract, only those legally authorized can do so. These include Director, company Secretary or any officer expressly authorized by a board resolution or power of attorney.

An employee, agent or shareholder who signs without clear authority exposes himself to personal liability.

The signatory must clearly indicate the company’s name, his official designation and that the signature is appended for and on behalf of the company.

In addition, the company seal is not decorative. It is a powerful legal symbol. The company seal should be properly embossed on the contract paper. A missing seal can weaken the contract and raise questions about its validity.

Where a contract is wrongly signed, the law can bypass the company and hold the person who signed fully responsible for debt, breach, penalty and damage. The company may walk free, but you may not.

This is why you should engage an experienced Business Lawyer to help you avoids costly mistakes that can follow you personally long after the contract is executed.

In company contracts, how you sign is just as important as what you sign.

__________________
APEX CHAMBERS, Law Firm of Property/Real Estate and Business/Corporate/Commercial Lawyers, Attorneys, Barristers, Solicitors Advocates, Legal Practitioners rendering legal services, Legal Consultants and Notary Public with Law Office in Port Harcourt, Rivers State, Nigeria

Phone: +234(0)7030868694 (Calls & Whatsapp)
Email: info@apexchambersglobal.com
Website: www.apexchambersglobal.com