China Naming Network - Eight-character Q&A - Do I have to have a power of attorney to sign a contract?

Do I have to have a power of attorney to sign a contract?

When customers help, we often give each other a power of attorney to prove their identity. So, is it necessary to have a power of attorney to sign a contract? Is the contract valid without entrusting bookmarks? Next, I will bring you the relevant contents of whether to sign a contract with a power of attorney. Let's have a look!

First, do you need a power of attorney to sign a contract?

You don't have to have a power of attorney to sign a contract. Even if there is no power of attorney, or even a valid power of attorney, as long as the objective situation makes the other party have reason to believe that the actor has a power of attorney, the act of signing a contract by agency is valid. According to the provisions of Article 49 of the Civil Law, if the actor has no agency right, exceeds the agency right or concludes a contract in the name of the principal after the agency right is terminated, and the counterpart has reason to believe that the actor has agency right, the agency act is valid.

Second, is it valid to sign a contract without a power of attorney?

Generally speaking, a contract concluded by an unauthorized agent is in a state of undetermined validity before it is ratified by the agent. A contract concluded in the name of the principal after the actor has no agency right, exceeds the agency right or the agency right is terminated is invalid for the principal without ratification by the principal, and the actor shall bear the responsibility. The other party may urge the principal to ratify it within one month. If the trustor fails to declare it, it shall be deemed as refusal to ratify it. Before the contract is ratified, the bona fide counterpart has the right to cancel the contract. Revocation shall be made by notice. If the actor has no agency right, exceeds the agency right or concludes a contract in the name of the principal after the agency right is terminated, and the counterpart has reason to believe that the actor has the agency right, the agency act is valid. There is also agency by estoppel in unauthorized agency, and the right of ratification of the principal may be restricted accordingly. In the absence of power of attorney, it can be considered as unauthorized agency in a narrow sense, that is, the contract does not directly belong to the principal and needs its ratification before the contract takes effect.

3. What are the differences and connections between entrustment contract and entrustment authorization?

An entrustment contract refers to a contract in which the trustee handles the entrusted affairs for the principal, and the principal pays or does not pay the agreed remuneration. Authorization refers to the intention of the principal (agent) to authorize the agent (principal). In other words, the client expresses his inner meaning of being willing to authorize the agent through a certain form, which is the authorization behavior. Authorization by entrustment is a unilateral civil legal act, that is, the unilateral expression of will by the client is the premise of its establishment. As long as the principal expresses this intention, the agent obtains the power of attorney, and the legal effect of authorization comes into being. Authorization can be in written form or oral form, but if it is required by law to be in written form, it should be in written form. Entrustment behavior is the basis of entrustment, and the relationship between rights and obligations in entrustment is embodied in the entrustment contract. Entrustment contract is often the basis of authorization behavior. The two are interrelated, but they are different.

Through reading the article, I believe that everyone must have their own views on whether to sign a contract with a power of attorney and related knowledge, and it is not necessary to have a power of attorney. That's all I brought you about whether to sign a contract with a power of attorney. If you have more legal questions, please consult a lawyer, who will give you professional answers.