Daily Law Tips (Tip 471) by Onyekachi Umah, Esq., LLM.
ACIArb(UK)
HOW TO BE PROTECTED WHEN MAKING AGREEMENTS WITH
COMPANIES.
Companies are corporate beings, that can own property, sue and
be sued. The Directors of a company are the eyes and legs of the
company, seeing to the day to day running of the company. Unlike a
human being, the affairs and conducts of companies, are different
from the affairs of the directors and shareholders of the
company.
In dealing with a company, they are specific requirements to
ensure that the acts and conducts of a company are genuine and
legal or at least presumed to be so. In making of transaction
agreements, the law presumes in favour of a purchaser that a deed
made between a purchaser and a company is duly executed by the
company, if the company’s seal is affixed in the presence of and
attested to by the clerk, secretary or director or any top
management of the company.
My authority is sections 163, 258 and 259 of the Evidence Act,
2011 and also the Companies and Allied Matters Act, 1990.
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