Authorized Representative: Legal Framework for Acting for a Legal Entity

Current legislation divides the concept of representative into legal and authorized. If we consider the terms in the framework of the actions of legal entities, then:

  • A legal representative is a person who can represent the interests of the enterprise on the basis of the law or constituent documents, in other words, the director or another person indicated in local documents, entitled to act without a power of attorney.
  • An authorized representative is a person, as a rule, an employee who has the right to act in the interests of the enterprise solely on the basis of a power of attorney, or another legal entity. To confirm the authority of an individual, you will have to issue a power of attorney with a notary.

authorized representative

Types and features of powers of attorney from legal entities

The general rules for drawing up letters of attorney are regulated by the Civil Code. So, according to the general rules, a power of attorney is compiled in writing. The power of attorney must necessarily meet two basic requirements:

  • be certified by the signature of the head of the enterprise (legal representative) and the seal (despite the cancellation of the seals at the legislative level, in practice, documents without them are not accepted and are not used in business circulation);
  • contain the date of issue, otherwise the power of attorney may be invalidated.

Types of powers of attorney provided by business circulation

  • One-time, to perform certain actions, for example, transferring a report to the fiscal authority or signing a specific contract.
  • Special, for certain actions, for example, as part of a specific agreement to receive certain material values.
  • A general power of attorney for an authorized representative is consent to a variety of legally significant actions for a certain period of time.

The notarized form of power of attorney is provided not only for individuals and individual entrepreneurs, but also in cases where the transaction is notarized between legal entities, that is, the authority must be confirmed in the same form as the contract is concluded.

power of attorney for an authorized representative

The rights of a legal entity when issuing a power of attorney

The legal representative of a legal entity has the right to revoke a previously issued power of attorney at any time. The power of attorney is terminated in a number of other cases:

  • if its validity has expired;
  • legal entity ceased operations;
  • termination of relations between legal entities or between an enterprise and an individual.

There are no requirements for issuing a power of attorney on the letterhead of the company in the legislation, so it can be executed on a regular A4 sheet.

Power of Attorney

In the power of attorney to the authorized representative, it is recommended to indicate the validity period of the document. If the deadline is not specified, then by default the document is considered valid for 1 year from the date of issue. In practice, more than 3 years of power of attorney are not issued.

authorized representative rights

Power of Attorney

At the beginning of the document should be displayed information about the legal entity, which acts as a principal and a trusted legal entity. It should reflect the legal form of enterprises, their PSRN. If the authorized representative is an individual, then it is recommended to register his passport details and full name. The date and place of issue of the document is indicated.

The rights of an authorized representative - this is perhaps the information that requires the most careful study. If a general power of attorney is issued, then, as a rule, the powers are described by general phrases, without specificity, for example:

  • “Has the right to manage immovable property located at ..., except for concluding transactions on the alienation of such property”;
  • "The right to represent the interests of the enterprise ... in all municipal and tax authorities, to be a representative in enterprises of any form of ownership."

In the case of a one-time power of attorney, it will be necessary to clearly state what actions an authorized representative can carry out, for example:

  • "Name is entitled to submit a report in the form ... to the tax authority at ... for the 4th quarter of this year."
  • “Full name has the right to sign the contract No. ___ of“ ___ ”_____, with the simultaneous signing of the act of completion.”

person of authorized representative

If the contract is signed not by the head of the enterprise, but by one of the parties, it is better to write in the header that the contract is signed by the Customer or the Contractor in the person of an authorized representative - surname, initials, details of the power of attorney.

A special power of attorney implies a description of a specific list of materials, its quantity, which can be obtained by an authorized person from this document.

Further along the text of the power of attorney, it is recommended to submit a sample signature of the authorized person. Then the position of the head of the enterprise, signature and full name are indicated.

In some cases, especially if the trustee has wide powers, it is recommended to indicate that he does not have the right to delegate his powers to a third party.


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