Document background
The Corporate Guarantee Resolution is a crucial governance document required under New Zealand law when a company intends to provide a guarantee in favor of another party. It serves as evidence that the board of directors has properly considered and approved the guarantee arrangement in accordance with the Companies Act 1993 and other relevant legislation. This document is typically used in financing transactions, intra-group arrangements, or commercial dealings where one company provides financial support for another's obligations. The resolution must demonstrate that the board has considered the company's best interests, confirmed its solvency, and properly authorized the guarantee's execution. It includes essential details such as the parties involved, the nature and extent of the guaranteed obligations, any security arrangements, and specific authorizations for document execution.
