If I open a new business account today and obtain the necessary corporate resoulution, and that same business comes back in six months and opens another account with the same individuals with the same authority do I need another corporate resolution?

I would think that the original corporate resolution would be adequate as long as there hadn't been any changes in the organization. Just be sure to put the date of the original resolution in your documentation of the new account.

You need a new resolution for each action the entity takes; if they want to empower someone to open a second account, open a safe deposit box, borrow money, etc. they need to give someone a grant of authority to that specific purpose.

Thanks for the info!

Ken, many resolutions will indicate that individuals are authorized to take multiple actions (i.e., open deposit accounts in the entity's name, borrow money), indicate how many individuals are required in order to take those actions, and also state that they are effective until rescinded or replaced by a new resolution. If this was the case, would you still think that a new resolution was needed for each action?

Bump:

Ken, many resolutions will indicate that individuals are authorized to take multiple actions (i.e., open deposit accounts in the entity's name, borrow money), indicate how many individuals are required in order to take those actions, and also state that they are effective until rescinded or replaced by a new resolution. If this was the case, would you still think that a new resolution was needed for each action?

-J

Are there specific duties that need to be spelled out in the resolution. If so are these required by any regulation? Our auditor is asking that specific language be in the resolution for stop payment orders. Is this necessary?