Document background
A Board Resolution For Sale of Company is a critical corporate governance document required when a company is being sold or transferred to new ownership. This document is essential in Canadian corporate practice and must comply with either federal (CBCA) or provincial corporate legislation. The resolution is typically drafted following extensive discussions and due diligence, documenting the board's careful consideration and approval of the sale transaction. It includes crucial details such as the transaction structure, purchase price considerations, and specific authorizations for officers to execute necessary documents. The resolution serves multiple purposes: it demonstrates proper corporate governance, provides authorization for the transaction, and protects directors by documenting their diligent decision-making process. This document is particularly important for regulatory compliance, shareholder communications, and creating a clear audit trail of the transaction approval.
