Financial Signatories

[RMBurnett]

Who are customarily the signatories to financial documents?  I believe the president of an organization signs contracts, etc., and the treasurer signs banking transactions.  Should the president also be added as a signatory to bank accounts?

Thank you.

Rose Burnett

[Richard Brown]

On 12/6/2022 at 10:34 AM, RMBurnett said:

Who are customarily the signatories to financial documents?  I believe the president of an organization signs contracts, etc., and the treasurer signs banking transactions.  Should the president also be added as a signatory to bank accounts?

Thank you.

Rose Burnett

Whether the president should be a signatory on the organization bank accounts and whether he should sign other financial documents is a matter solely within the discretion of the organization and its bylaws and any controlling state law. RONR has no provisions regarding this.

It has been my experience that making the president a signatory on bank accounts and requiring his signature on certain legal and financial documents is rather customary, but there is no rule requiring it in RONR.

[RMBurnett]

Thank you.  That's sort of the impression I got from scouring RONR, but I'm new to this board business.  I appreciate your help!

[Gary Novosielski]

You might also specify that the Vice President may sign instead of the President if the latter is unavailable.

[RMBurnett]

Good point.  Thank you.