Monday, July 22, 2013
No Contract Signature on Behalf of LLC
Who has authority? To bind the entity, the signing party must have authority (or apparent authority). If you have doubts about whether someone has authority to sign an agreement, you should require evidence of that authority, usually in the form of a corporate resolution or similar documentation.Occasionally, language may be included in an agreement that states something like, "I have authority to sign this agreement." Alas, including that language does not bind the entity. At best, it allows you to sue the signing individual for misrepresentation.