A contract signature page can affect whether a contract is enforceable and who the responsible persons are for legal purposes. Legal persons may be individuals, limited liability companies, corporations, and other entities. Only legal persons are parties to contracts. 3 min read updated on October 26, 2020
A contract signature page can affect whether a contract is enforceable and who the responsible persons are for legal purposes. Legal persons may be individuals, limited liability companies, corporations, and other entities. Only legal persons are parties to contracts.
All documents demand an individual's signature. This act isn't reserved for only legally binding contracts. A signature is a universal symbol that the person signing is in agreement. It also serves as a form of identification for the person signing.
In general, entities not formed by filing the appropriate paperwork with their Secretary of State are going to be responsible for their contracts.
For example, if someone is doing business as a sole proprietor, that person is the party to the contracts for the business. This is the case even if the individual has registered his business with a fictitious name or a "doing business as" (DBA) with the state.
In this case, the sole proprietor would sign the contracts in an individual capacity. If the person is doing business as with a business name, he would sign his business contracts with his individual name followed by doing business as or DBA and then the company name.
Although entities are considered legal persons, for the most part, a human agent must act for them.
When a human agent is signing an entity's contract, it is important that the person signing the contract makes it clear they are doing so on behalf of the entity and not in their individual capacity.
If an individual forms a corporation and engages in business contracts, the individual would sign with the name of the corporation, first, followed by whatever state corporation, then by the individual's name. For example, The XYZ Store, Inc., a Missouri corporation, by John Doe.
If a company is doing business as the XYZ Store, Inc., but its legal name is John Doe Enterprises, Inc., contracts would be signed as John Doe Enterprises, Inc., d/b/a the XYZ Store, Inc.
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