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#1668070 - 02/22/12 01:01 AM Authority on Business Accounts
Jo Offline
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Joined: Aug 2005
Posts: 87
Am I correct in believing that any officer,( President, Vice President, Treasurer, Secretary, Director) listed on a business filing with the MA SOC has the authority to act on behalf of that business, i.e. can open accounts, if on accounts with other officers may act alone on any transactions?
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JC

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#1668071 - 02/22/12 01:12 AM Re: Authority on Business Accounts Jo
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
I don't think so. A corporate officer doesn't automatically have account access. The corporate board still has to decide which officers or others shall have authority to act on behalf of the corporation. You need to get a certified copy of a board resolution designating who may open and maintain accounts for the corporation.
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John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
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#1668073 - 02/22/12 01:25 AM Re: Authority on Business Accounts John Burnett
Jo Offline
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Joined: Aug 2005
Posts: 87
If they open the account listing the President, Vice President and Treasurer with each of their signatures, then do they all have equal power relating to the account?
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JC

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#1668084 - 02/22/12 11:42 AM Re: Authority on Business Accounts Jo
rlcarey Online
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rlcarey
Joined: Jul 2001
Posts: 83,227
Galveston, TX
As John indicated, this will (or should be) be spelled out in the corporation resolution.
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#1668092 - 02/22/12 12:40 PM Re: Authority on Business Accounts Jo
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
Review the resolution carefully. It should spell out any differences in access authority. If there's nothing in the resolution concerning different levels of access or any difference in authority approved for the three individuals, you can safely assume that their authorities are equal.
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John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
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