MAPC Lawyers Publish: How to Avoid Personal Liability when Signing a Business Contract

To determine whether an authorized business representative who signs a contract is personally liable, courts consider the written instrument, in its entirety. To avoid personal liability, those signing legal instruments on behalf of their company should unambiguously demonstrate that their signature is made in a representative capacity only.  This should be done by clearly manifesting in the body of the instrument, and in each signature field, that the commitment tendered is that of the company only, not the individual signer.

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