signing legal documents

When charity trustees need to sign legal documents it can be quite an unwieldy and logistically difficult process especially where the charity in question has a large number of charity trustees.

In these instances the charity trustees can, subject to the trusts of the charity, use the procedure set out in section 333 of the Charities Act 2011 resolve to confer authority on any two or more of their number to execute legal documents on behalf of all the trustees.

The resolution can be general, in that it applies to all documents and transactions, or can be limited for use in specific scenarios or transactions. Once the resolution is made it will continue until revoked.

A document executed pursuant to such authority will be deemed to have been executed by all the trustees.

In respect of documents that are registrable at the Land Registry, then provided certain requirements are satisfied, the Land Registry will not require evidence of the resolution.

Where a charitable company (not being an exempt charity) is disposing of an interest in land, the charity trustees are required to give a certificate that the relevant provisions of the Charities Act, relating to disposals of interests in land, have been complied with. In these circumstances the charity trustees should also execute the document and the procedure in section 333 can again be used to delegate authority to no fewer than two trustees.