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Company Letter Of Authority Template for England and Wales

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Key Requirements PROMPT example:

Company Letter Of Authority

"I need a Company Letter of Authority to authorize our Sales Director to negotiate and sign contracts up to £500,000 with suppliers in the European market, effective from January 2025 for a 12-month period."

Document background
A Company Letter of Authority is essential when businesses need to formally delegate powers to representatives or agents. This document, governed by English and Welsh law, provides clear written evidence of the authority granted and protects all parties involved. It typically includes details of the authorized persons, scope of authority, duration, and any limitations. The Letter of Authority helps companies maintain control while efficiently delegating responsibilities, and is particularly important for regulatory compliance and risk management.
Suggested Sections

1. Company Details: Full registered name, company number, registered address

2. Authorised Person(s): Details of person(s) being granted authority

3. Scope of Authority: Specific powers and activities being authorized

4. Duration: Time period for which authority is valid

5. Authorization Statement: Clear statement of authority being granted

Optional Sections

1. Financial Limits: Monetary limits on authority, used when authority includes financial transactions

2. Reporting Requirements: Requirements for reporting back to the company, used for significant delegations

3. Revocation Process: Process for withdrawing authority, used for long-term or significant authorities

Suggested Schedules

1. Specimen Signatures: Sample signatures of authorized persons

2. Company Resolution: Copy of board resolution approving the authority (if required)

3. ID Documents: Copies of identification documents for authorized persons

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions




















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Relevant Industries
Relevant Teams
Relevant Roles
Industries

Companies Act 2006: Primary legislation governing company operations in the UK, including sections on company authority, representation, directors' powers and duties, and company decision-making processes

Agency Law: Common law principles governing agency relationships, including types of authority (actual, implied, apparent) and the scope of agent's powers

Financial Services and Markets Act 2000: Legislation governing regulated financial activities and requirements for regulated entities when granting or accepting authority

Data Protection Act 2018 and UK GDPR: Legislation governing the handling of personal data, including requirements for data protection when authority involves access to personal information

Powers of Attorney Act 1971: Legislation governing the creation and execution of powers of attorney, including formal requirements for creating authority

Contract Law principles: Common law principles governing contract formation, terms and conditions, and limitations on authority in contractual relationships

Money Laundering Regulations 2017: Regulations governing financial transactions and due diligence requirements when authority involves financial matters

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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