Company Restructuring: Who Should Sign and What Proof of Authority are Needed

March 12, 2026by Legal Help Desk0

Question: Our company group has multiple UAE entities (mainland + free zone). The paperwork is ready, but filings keep getting delayed because someone says the ‘signatory is not authorised’ or the ‘wrong person signed in the wrong capacity.’ How do we correctly identify who should sign corporate documents (resolutions, applications, MOA amendments, share transfer documents, etc.), and what proof of authority should be attached—especially when the intended signatory is not reflected on the trade licence/registry record or is signing via a POA from abroad? 

 

Answer:
In UAE corporate practice, “signatory issues” usually happen because authority on paper (trade licence/registry + constitutional documents) does not match authority in real life (who the business treats as decision-maker). The clean way to prevent rejections is to do a quick signatory audit before anything is filed. 

 

Start with the “source of authority” (not the org chart).

Check the entity’s constitutional documents (MOA/AOA or equivalent), shareholders’ agreement and the registry/trade licence record to confirm who is officially empowered to bind the company—e.g., manager, director(s), authorised signatory, company secretary (where applicable), or shareholder(s) for reserved matters. 

 

Match the document to the correct approving body.

Not every document can be signed just because someone is “senior.” Authorities often expect the right approval route first: 

    • Certain actions require shareholder resolution (e.g., key amendments, share transfers in some structures). 
    • Others require board/director resolution (appointments, delegations, operational approvals).
      If the underlying approval is wrong or missing, the signatory’s signature won’t cure it. 

 

Use the correct capacity wording (this is where many packs fail).

Authorities and banks look at the signatory’s capacity—e.g., “Manager,” “Director,” “Authorised Signatory pursuant to Board Resolution dated ___,” etc. A valid person signing in the wrong capacity can still cause rejection. 

 

Attach a “proof of authority” bundle (keep it simple and consistent).

A practical baseline pack often includes: 

    • Trade licence and/or commercial registry extract 
    • Constitutional documents (MOA/AOA) 
    • Appointment evidence (manager/director appointment, incumbency-type evidence where used) 
    • The relevant board/shareholder resolution approving the action and authorising the signer (if needed) 
    • Signatory ID documents as required (Emirates ID/passport) 
    • Any authority-specific forms, stamps, or specimen signatures (where required) 

 

If the intended signatory is not on the registry/licence record, fix the sequence—don’t “wing it.”

If the registry shows one manager/director but the company wants another person to sign, the usual solution is sequencing: 

    • Either update the official record first (appoint/replace manager/director/authorised signatory as per the authority’s process), or 
    • If permitted, pass a proper delegation/authorisation resolution and file/submit it in the format the authority accepts.
      Trying to skip this step is the classic reason for “everything is ready… just one small signature.” 

 

For overseas signatories and/or any such delegation of signing powers, treat POAs as a project—not a last-minute patch.

A POA must typically be properly notarised and legalised/attested through the correct chain (which varies by origin country and UAE requirements), and it must be specific enough to cover the exact actions and filings. Common failure points are: expired POAs, insufficient scope, missing attestation, or wording that doesn’t match the action. 

 

Create a one-page ‘signing matrix’ and stick to it.

For groups with multiple entities, a simple matrix prevents chaos: document type → approving body → signatory→ capacity wording → supporting evidence → execution format (wet ink/notary/attestation). This avoids rework and helps non-lawyer teams (HR/finance/admin) follow the correct chain. 

Done well, this turns the “one small signature” drama into a predictable checklist exercise—and keeps registry filings, notarisation, and downstream stakeholders (especially banks) from bouncing the pack back and forth. 

Disclaimer

This article is intended for general informational purposes and does not constitute legal advice. The opinions expressed in this blog are those of the respective authors. ATB Legal does not endorse these opinions. While we make every effort to ensure the factual accuracy of the information provided in our blogs, inaccuracies may occur due to changes in the legislative landscape or human errors. It is important to note that ATB Legal does not assume any responsibility for actions taken based on the information presented in these blogs. We strongly recommend taking professional advice to ensure the best possible solution for your individual circumstances.

About ATB Legal

ATB Legal is a full-service legal consultancy in the UAE providing services in dispute resolution (DIFC Courts, ADGM Courts, mainland litigation management and Arbitrations), corporate and commercial matters, IP, business set up and UAE taxation. We also have a personal law department providing advice on marriage, divorce and wills & estate planning for expats.

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by Legal Help Desk

The Agony Uncle column is helmed by our seasoned legal consultants with deep expertise in corporate law and compliance, offering practical solutions to complex business legal issues.

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