Entry of the way of signing on behalf of a company into the Commercial Register

Limited Liability Companies often incorporate into their Articles of Association a provision that regulates the way the Managing Directors sign on behalf of the company, for example: „The Managing Directors sign on behalf of the company by affixing their signatures to the printed or written name of the company.”

The Superior Court in Olomouc has dealt with a question whether the way of signing on behalf of the company may be entered into the Commercial Register (decision of the Superior Court in Olomouc as of 9^th September 2014, Reference Number: 8 Cmo 252/2014).  

The Superior Court in Olomouc concluded that the way of signing on behalf of the company may be entered into the Commercial Register only together with the way of representing the company. The entry into the Commercial Register may be worded for example: “The company is represented by two Managing Directors who shall act together. The Managing Directors sign on behalf of the company by affixing their own signature to the printed or written name of the company.”