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Execution of documents

CS Rajveer Rai, Gurgaon (CS) (646 Points)

01 March 2012

Can a document/deed/agreement be signed by both parties to that document on different date?

If yes! then what will be the execution date?

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6 Replies

Ankur Garg (Company Secretary and Compliance Officer) (114773 Points)
Replied 01 March 2012

Hi,

Kindly appreciate the execution date and the effective dates are two different things.

The execution date is the date that the party signs the document. There may be different execution dates. The effective date is the date that the agreement becomes effective and can be a specified date other than the date the agreement was signed.

If no other date is specified, the contract is effective on the execution (signing) date.

For example:

Agreements executed in December 2011 can stipulate the agreed terms with effect from First April 2011.

However if there is no date mentioned from which agreement is to be considered as effective and execution date are different, then it should be effective from the date of first execution and this should be cleared to the second party at the time of his execution.

You may also add a date of commencement in the recitals.

Regards

CS Rajveer Rai, Gurgaon (CS) (646 Points)
Replied 01 March 2012

Sir as we write normally...

THIS AGREEMENT WAS MADE ON.......DAY OF.......AT..........

is this date considered as execution date?

if Both parties are not signing on the same date as written above then you mean execution date will be when one party signs first?

I got your point that if effective date is not mentioned separately then execution date is effective date. What will be if effective date is also not mentioned and both parties signing on different dates?

Ankur Garg (Company Secretary and Compliance Officer) (114773 Points)
Replied 01 March 2012

Originally posted by : CS Rajveer Rai, Gurgaon
	Sir as we write normally... THIS AGREEMENT WAS MADE ON.......DAY OF.......AT.......... is this date considered as execution date?

This is the effective date even if parties are signing on different dates.

This is not execution date.

CS Rajveer Rai, Gurgaon (CS) (646 Points)
Replied 01 March 2012

ok thank you sir

Regards

Amit (Assistant Vice President) (21 Points)
Replied 20 April 2012

I am purchasing a residential flat which is currently registered in the name of closely held limited company. The Agreement of sale is signed by one of the directors of the company. Howwever, they have passed a baord resolution and authorized some third party ( who is netiher a director nor an employee) to sign the sale deed on behalf of the company and be present at the time of registration representing the company.

Kindly let me know if a third party can become an authorised signatory via a board resolution? Also, kindly let me know if an addittional board resolution is required to authorize a director to sign the Agreement of Sale?

GIRIRAJ BHATTAD (Student CA Final ) (23 Points)
Replied 14 May 2018

CAN COMMENCEMENT OF PARTNERSHIP BE AFTER THE DATE OF EXECUTION OF DEED? SUPPOSE DEED EXECUTED ON 31.12.12.AND COMMENCEMENT DATE IS GIVEN IN DEED AS 18.04.2013. IS IT VALID ?