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#1741914 - 09/18/12 08:06 PM Sole Proprietorship
GrannieTwo Offline
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Joined: Nov 2010
Posts: 180
Central IL
I have was trained 30+ years ago that the signature card is the legal contract between the bank and the account owner. When a sole proprietor opens a DDA, the SP signs the signature card and if the SP wants additional signers, we complete a SP resolution designating the additional signers. These add'l signers sign the resolution which is also signed by the SP. I particpated in a webinar on account ownership/titling and the speaker stated the resolution designates who signs the card. That if the SP wants two additional signers, after completing the resolution, all three would sign the sig card. The speaker started the webinar by stating we should always look to State law for some issues since she was generalizing. Have we been doing this wrong by not having the add'l signers sign the sig card? UGH!
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#1743700 - 09/25/12 01:40 PM Re: Sole Proprietorship GrannieTwo
lilbo52 Offline
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Joined: Feb 2011
Posts: 9
Illinois
We always do a new signature card/account agreement when adding or changing signers on all our accounts. Both the resolution and account agreement show who all signers are and all signers must sign both.

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#1749133 - 10/13/12 10:57 AM Re: Sole Proprietorship GrannieTwo
Elwood P. Dowd Offline
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Elwood P. Dowd
Joined: Aug 2001
Posts: 21,939
Next to Harvey
The resolution dictates who the signatories are. If the "signature" card is your resource for sample signatures, then all signatories should sign it.
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#1807529 - 04/24/13 01:14 PM Re: Sole Proprietorship GrannieTwo
GrannieTwo Offline
100 Club
Joined: Nov 2010
Posts: 180
Central IL
Th sole proprietorship form we use has an agent section where we list the name/title of the authorized to execise powers granted by the sole prop. My question is this, we currently have the authorized signer only sign in this section,as the form is signed by the sole prop signifying their authorization. We recently were told the sole prop. should also be signing in the authorizaton section. We disagree but can't find anything to support either position except "common sense". Which way is correct?
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For when I am weak, then I am strong. 2Cor 12:10

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#1807571 - 04/24/13 02:31 PM Re: Sole Proprietorship GrannieTwo
rlcarey Offline
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rlcarey
Joined: Jul 2001
Posts: 77,548
Galveston, TX
It would be hard to say without reading the exact form you are using. You might want to run it by your legal counsel.
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#1807629 - 04/24/13 03:44 PM Re: Sole Proprietorship GrannieTwo
GrannieTwo Offline
100 Club
Joined: Nov 2010
Posts: 180
Central IL
Thanks, I will do that.
_________________________
For when I am weak, then I am strong. 2Cor 12:10

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