An Authority Letter To Sign On Behalf Of Company is a crucial legal instrument in Indonesian business operations, essential when companies need to delegate signing authority to specific individuals for operational efficiency or specific transactions. This document, governed by Indonesian corporate and civil law, particularly the KUHPerdata and Company Law No. 40 of 2007, provides a formal mechanism for delegating authority while maintaining proper corporate governance. It's commonly used when directors are unavailable, for routine operational matters, or when specific expertise is required for certain transactions. The document must clearly outline the scope of authority, duration, and any limitations to ensure compliance with Indonesian legal requirements and protect both the company's and stakeholders' interests.
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1. Letter Header: Company letterhead, date, reference number, and formal letter details
2. Addressing: Formal addressing line including 'To whom it may concern' or specific addressee details
3. Title: Clear title indicating 'SURAT KUASA' (Power of Attorney) or 'Authority Letter'
4. Grantor Details: Full details of the company granting authority, including company registration number, address, and authorized representative making the grant
5. Attorney Details: Complete information about the person being granted authority, including full name, ID number, position, and address
6. Scope of Authority: Clear and specific description of the powers being granted and their limitations
7. Duration: Validity period of the authority, including start date and end date or conditions for termination
8. Signature Block: Space for formal execution including grantor's signature, company stamp, and witness signatures if required
1. Recitals: Background information explaining why the authority is being granted, used when context is important for interpretation
2. Substitution Rights: Section specifying whether the attorney has the right to delegate the authority to another person, included when such delegation might be necessary
3. Specific Restrictions: Detailed limitations on the granted authority, included when there are specific actions the attorney cannot perform
4. Reporting Requirements: Obligations of the attorney to report on actions taken under the authority, used in cases of significant or ongoing responsibilities
5. Ratification Clause: Statement confirming that the company will ratify actions taken under the authority, included for high-value or critical transactions
1. Schedule of Authorized Actions: Detailed list of specific transactions or actions the attorney is authorized to perform
2. Corporate Authorization: Copy of board resolution or other corporate approval authorizing the grant of authority
3. Specimen Signature: Sample signature of the attorney for verification purposes
4. Identity Documents: Copies of relevant identification documents of the attorney and company representatives
Authors
Relevant legal definitions
Clauses
Relevant Industries
Banking and Financial Services
Manufacturing
Real Estate and Property
Trading and Distribution
Technology and Communications
Construction
Energy and Resources
Healthcare
Retail
Transportation and Logistics
Professional Services
Agriculture and Farming
Education
Hospitality
Relevant Teams
Legal
Corporate Secretarial
Executive Management
Operations
Finance
Procurement
Business Development
Human Resources
Compliance
Risk Management
Administrative
Contract Management
Relevant Roles
Chief Executive Officer
Managing Director
Director
Company Secretary
Legal Counsel
Corporate Lawyer
Senior Manager
Department Head
Branch Manager
Regional Director
Chief Financial Officer
Operations Manager
Procurement Manager
Contract Manager
Business Development Manager
Human Resources Director
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