Contracts are a part of every day commercial life and it is vital that they be properly signed to reduce challenges about whether they are legally binding.
How do individuals sign?
An individual signing:
- an agreement needs to sign under their own name
- a deed needs to sign under their own name and have their signature witnessed by a third party adult who is not a party to the deed and that witness should print their name and address
It is also good practice for an individual’s signature on any contract to be witnessed by a third party as this will be helpful in case there is a subsequent dispute about the authenticity of the individual’s signature. If the document is especially important, the individual’s signature should be witnessed by a solicitor or a justice of the peace.
How do companies sign?
Section 127(1) of the Corporations Act provides that a company may execute an agreement by any of the following methods: