Why Officers Should Sign Contracts In Their Corporate Capacity

Without regard with their title, officers of the corporation should transact all business and execute all contracts in the name of the company.  The officer should have his or her title next to or under their signature.

Why is this important? Because if the company defaults on the underlying transaction, the officer may be held personally responsible for any loss if the other party can demonstrate that it reasonably belived that the officer was doing business on the officers\’ behalf.

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