When it comes to creating a listing agreement on behalf of a corporation, it is important to understand who has the authority to sign the document. A listing agreement is a legal document that outlines the terms and conditions of the agreement between the real estate broker and the seller of a property. The agreement establishes a contractual relationship between the two parties, which requires a proper signature from an authorized person within the corporation.
In a corporation, the authority to sign a listing agreement is determined by the bylaws and corporate laws governing the organization. The person who is authorized to sign the listing agreement is typically defined by the corporation`s board of directors, or in some cases, the CEO or president of the corporation.
According to the corporate laws, only the individuals who have a specific designation or role in the corporation are authorized to act on behalf of the company. This designation may be defined in the company`s bylaws, articles of incorporation, or other legal documents that outline the structure of the corporation.
While different corporations may have different rules, there are certain positions that are typically authorized to sign a listing agreement on behalf of a corporation. These may include:
1. Board of Directors – The board of directors is responsible for overseeing the overall management and direction of the company. In many cases, they are the ones authorized to sign a listing agreement on behalf of the corporation.
2. CEO or President – In some corporations, the CEO or president may be authorized to sign a listing agreement on behalf of the company.
3. Vice President or other officer – Depending on the structure of the corporation, other officers may be authorized to sign a listing agreement on behalf of the corporation. This may include vice presidents or other designated officers.
It is important to note that in some cases, multiple signatures may be required to authorize a listing agreement on behalf of a corporation. This may be the case when the corporation`s bylaws require multiple signatures for certain types of contracts or agreements.
In conclusion, before signing a listing agreement on behalf of a corporation, it is essential to ensure that the signatory is authorized to act on behalf of the company. This may require consulting with the corporation`s bylaws, articles of incorporation, or other legal documents. When in doubt, it is recommended to seek legal advice to ensure that the listing agreement is legally binding and enforceable.