Document background
The Resolution of Authority is a fundamental corporate governance instrument used in Indian business operations to establish and document the delegation of powers within an organization. This document type is essential when companies need to formally authorize individuals to act on behalf of the organization, whether for banking transactions, legal proceedings, or other business operations. Required under the Companies Act, 2013, and various other Indian corporate regulations, it provides legal protection and clarity in corporate decision-making. The resolution typically emerges from board meetings or shareholder meetings and must be properly documented and maintained as part of corporate records. It's particularly crucial during leadership transitions, when establishing new business relationships, or when updating existing authorization frameworks to ensure smooth business operations while maintaining proper controls and compliance with Indian corporate law.
