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Law Firm Board Resolution for Financial Matters

Law Firm Board Resolution for Financial Matters

Resolution on Authorization for Financial Transactions and Banking

WHEREAS, it is necessary and appropriate for [Your Company Name] (the “Company”) to establish policies for managing its financial transactions and banking operations effectively;

BE IT RESOLVED, that the Board of Directors of the Company hereby authorizes the following:

1. Banking Institutions and Accounts:

  • The Treasurer of the Company is authorized to open and maintain bank accounts in the name of the Company with [Bank Name] and any other financial institutions deemed suitable for the Company’s operations.

  • The Treasurer is further authorized to close any existing bank accounts and transfer the balances in accordance with the Company’s operational needs.

2. Transaction Authorization:

  • The following officers of the Company: the President, the Treasurer, and the Chief Financial Officer, each acting alone, are authorized to execute and deliver checks, drafts, wire transfers, and other orders for the payment of money drawn in the name of the Company, up to a limit of $50,000 per transaction.

  • For transactions exceeding $50,000, the joint authorization of any two of the above-listed officers is required.

3. Borrowing and Credit Arrangements:

  • The Treasurer and the Chief Financial Officer, acting jointly, are authorized to negotiate and enter into credit agreements with financial institutions for credit facilities or loans. The total outstanding amount of such facilities shall not exceed $1,000,000 without further approval from the Board.

  • They are also authorized to give guarantees, open letters of credit, and arrange overdraft agreements on behalf of the Company under such terms as they deem advisable.

4. Financial Reporting and Monitoring:

  • The Chief Financial Officer shall ensure that all financial transactions are recorded in accordance with generally accepted accounting principles (GAAP) and shall report to the Board on the financial status of the Company at each regular Board meeting, or more frequently as circumstances may require.

5. Investment Policy:

  • The Treasurer is authorized to invest surplus funds of the Company in interest-bearing accounts, bonds, certificates of deposit, or other securities deemed safe and appropriate, with the objective of maintaining liquidity and securing maximum returns commensurate with safety.

This resolution shall be effective immediately upon its adoption and shall remain in effect until modified or rescinded by a further resolution of the Board. Any prior resolutions that are inconsistent with this resolution are hereby repealed to the extent of such inconsistency.

Adopted this [Day] of [Month], [Year].

[Name], Chairperson

[Name], Secretary

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