eSignature Legality for Client Information for Real Estate in Canada: Simplify Document Signing Process

How to eSign a document: e-signature legality for Client Information for Real Estate in Canada

[Music] hello everyone and welcome to another episode of coffee with carl i am of course your host carl zellner i'm one of the attorneys here with anderson business advisors and today we're going to be talking about signing documents so grab your coffee and let's go all right so signing your documents this may sort of seem like a silly issue to cover and people are usually sort of embarrassed to raise their hand and ask this question uh when we're holding one of our events but it does come up and it normally comes up when you didn't think of it when you were actually putting your entities to when you're putting your entities together or even when you executed your documents because we say just sign here and we print up those title blocks for you but it does come up right so when we're signing documents there's a few things we want to look at number one if you're having trouble figuring out how to sign your documents or say if you have an entity structure where there's entities owning other entities member managed and it's getting a little complex or there's land trust things like that involved please please please if you're a client just give us a shout we're happy to point you in the right direction it is no big deal but it can be a little weird to work with in the beginning but just like anything else once you've figured it out or once you've done it a couple times it becomes like second nature so first tip or first trick would be if you're in a pinch and need to know how to sign your documents you can always go to the end of your operating agreement for your llc or the end of your bylaws for your corporation and normally there is a signature block on there that will designate how you should sign and in what capacity now when i'm signing on behalf of say an llc normally i'm signing it just as a primer as well normally i'm signing in my capacity as manager and when i'm signing on behalf of a corporation i'm normally signing in my capacity as officer when i'm dealing with outside parties meaning when i sign as an as an officer or a manager i'm designating that i have the ability and right to bind the business commit to something and bind the business but i'm not necessarily tipping my hand as to ownership of that business because there's lots of different ways entities can be set up but normally managers and a manager managed llc could be an employee and the same thing with officers officers are not assumed to be or we all think they're supposed to be shareholders so those that's why we normally sign in that capacity when we're dealing with the outside world now that's sort of the simplest equation on these things when we start stacking these entities so say if i have a rental property and i'm using a wyoming holding llc that's manager managed and i'm usually the manager and then i have a texas llc that would be member managed so say texas llc wyoming holding company i'm the manager up here but down here at this texas llc level the only thing that's showing wyoming so how do i sign there well i've got to get my name onto the document somehow right i mean we're all looking at this and we can figure this out right my name needs to be on the document great so where does my name show up that i can show capacity to sign for down here at this texas llc at the texas llc level the member is wyoming so i have the right i already know to sign on behalf of the wyoming llc as its manager now what i've got to do is connect those two things so when i sign on for the texas llc i sign and i have to note that i'm the manager of the wyoming llc which is by extension the manager of the texas llc because the texas llc is set up as member managed so it's sort of cumbersome it can create a kind of a lengthy title block but really on a day to day you're not really signing that many documents especially if we're talking about a passive investment structure it's more just getting it squared away in the beginning and then from then on it tends to run itself if you are having trouble with that though and you are a client please give us a call or if you're interested in learning more about some of those structures and how we set them up and how we sign and all these good things we do hold lots of classes and are always happy to have a free initial consultation with you so this covers the very basics of signing our documents like i said if you need help let us know always happy to reach out and help or get those signature blocks in place uh also free more frequently or sort of from a new realm we are considering and have started to include officer positions within llcs so it's sort of a bridging of a gap there if for some reason you have one of those structured llc's that it's pretty difficult to get the signature on or cannot get just wrap your head around that signature block you do have the ability to create officer positions in there so that you can actually sign on behalf of the business in your capacity one takeaway i want to make sure everybody gets we want to make sure that we're signing in our capacity within that entity not as individuals we do not want that confusion out there because that can bring liability to you and your business with the argument being that there was confusion on who the outside party was dealing with so it's been a pleasure as always meeting with you all please take advantage of all of our free content please as well if you're not a client you have more questions call in free consultation no pressure you're more than welcome to ask all the questions you want we'll answer them to the best of our ability and if you want to do business together we're always happy to add some more people to the family until next time it's been a pleasure coffee with carl catch you on the next episode [Music] you