Equine Law Blog
Does the Other Party to Your Contract Have Authority to Sign It?
Posted by: Julie I. Fershtman
If you are entering into a contract with someone who claims to be signing on behalf of someone else – such as the sales agent signing for the owner, or a person claiming to be signing on behalf of a corporation or partnership – how can you be sure that this person has the authority to bind the other person or entity to the contract? Careful language in your contract can help. The contract could state, for example:
- With any contract, the person purporting to sign on behalf of a corporation represents and affirms that he or she has authority to bind the corporation and/or has been given proper authority from the corporation to sign the contract and enter into the transaction at issue.
- With a sale contract, the document can specify the owner and specify that the sales agent, who is signing, has been approved to sign the contract for the owner. When in doubt, the safest option is to demand that the owner sign the sale contract, as well.
Discuss these and other provisions of contracts with a knowledgeable lawyer.
Categories: Contracts
ShareholderJulie Fershtman is considered to be one of the nation's leading attorneys in the field of equine law. She has successfully tried equine cases before juries in four states. A frequent author and speaker on legal issues, she has written ...
