Rules for Execution of Documents

Since 15 September 2005, there have been new rules which apply for the execution of documents by corporate bodies. These mean that a number of items which have become standard practice are now covered by legislation.

The changes made provide that:

the execution of a document under seal will not make the document a deed;
a purchaser will be able to rely on the signatures of two directors or a director and the company secretary to attest the company seal on a deed;
directors and secretaries who represent more than one company will have to sign a deed separately for each company they represent;
companies will be allowed to complete the formalities attendant to signing a deed in advance of being bound by it (as individuals can);
third parties will be able to rely on any transaction, not just transactions in land, completed by a solicitor; and
where the company is acting under a power of attorney, the officer of the company who signs the document may sign in the name of the donor.

The contents of this article are intended for general information purposes only and shall not be deemed to be, or constitute legal advice. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of this article.