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.

Content by:    

• The Made Simple Group