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anand das (service)     18 June 2010

authorization by authorized person

a private limited company 'A' authorizes person 'B' to do sign, act, plead and appear before a forum/commision by passing of a board resolution.

On the hearing date of the matter, person 'B' is out of station and can not attend hearing. 

Can 'B' further authorize person C' to act on his/company's behalf ?

Pls guide



Learning

 5 Replies

CS Pooja (Company Secretary)     18 June 2010

Prima facie, Mr. B has no power to delegate further.

A better option is to insert in the resolution, the clause stating " failing Mr. B, Mr. X will be authorised to ......".

Or, you can pass another resolution, authorising Mr. X, in super-session of  the earlier resolution.

1 Like

Daksh (Student)     18 June 2010

Dear Anand,

The Board Resolutions qua authorisation for a particular thing are in a standard mode and as such one of the important prerequisites which is usually added is "to do all acts, deed and things which may be required to give effect to this Board Resolution".

If this line is there then he can further authorize other person who on his instruction can appear and do the needful.

Best Regards

Daksh

1 Like

Basavaraj (Asst, Manager-Legal)     18 June 2010

I do agree with DAKSH, in my own expereince I attaended the case and given evidence on behalf of company passed board resluation to Company Seceratry was givento me his authorization to appear on the case not on behalf of him.

 The hon'ble court never question me. Now that case has been closed.

One more exmp is in my company CS has authroized to sign all legal docuemnts, but for trademarks issues I am going to appear before the appellate tirubnal on capacity of my CS authroization letter.

1 Like

anand das (service)     01 July 2010

Thank you friends for your valuable inputs. I have got the point now. 

Thank you once again.

Satyan Babu (Divisional Manager)     05 July 2010

The legal maxim is “delegatus non potest delegare”   Legal rule that an agent to whom an authority or decision making power has been delegated by a principal or higher authority may not delegate it to a sub agent unless the original delegator expressly authorizes it, or there is an implied authority to do so. Its is a fundamental principle of administrative law.


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