Section 21 of CA 2013 : Section 21: Authentication Of Documents, Proceedings And Contracts

Explanation using Example

Imagine a scenario where ABC Pvt. Ltd. needs to enter into a contract with a supplier for the purchase of raw materials. According to Section 21 of The Companies Act, 2013, this contract can be legally signed and authenticated on behalf of the company by any person who is part of the key managerial personnel, such as the CEO, CFO or the company secretary. Alternatively, if the Board of Directors has given specific authorization to a particular officer or employee, then that individual can also sign the contract to make it legally binding for ABC Pvt. Ltd.