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News and Research

From time to time we will post valuable information pertaining to corporate record keeping and compliance issues.

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Costly Mistake #10: Signing checks without adding your title -- or that you represent the company.

If the check does not have the name of the corporation on it, ALL states agree that you are personally liable if you sign it without designating the fact that you are signing it as an agent of the corporation. A signed check is just another form of a binding contract. If the company's name is on the check... but there is no clear indication that it is a corporation and no entity type is shown (LLC, C, S, LP, etc.), all states except the state of Utah hold that there is personal liability. The best way to protect yourself is to have your checks imprinted with the words, "signature of authorized corporate agent," underneath the signature line. This way, even if you forget to add your title when signing the check, it is still clear that you are signing as an authorized corporate agent.