Signing a deed or agreement in counterparts

22 April 2020

Here’s what you need to know about counterpart clauses in your deeds and agreements.

What is a counterpart clause? 

A counterpart clause is a clause that allows parties to a deed (or agreement) to execute separate copies of the same deed (or agreement). 

So, even though all parties signatures don't appear on the same deed or agreement, separately, they are still binding.

Here’s a sample counterpart clause:

Counterparts

This Deed may be executed in any number of counterparts. All counterparts, taken together, constitute one deed. A party may execute this Deed by signing any counterpart.

Why use a counterpart clause? 

If you have many parties to a deed or agreement, you’ll want to use a counterpart clause for efficiency’s sake.

However, you should be careful not to make the assumption that signing in counterparts is acceptable for all deeds and agreements.

You’ll need to see a clause in that deed or agreement that allows counterpart signatures before you can sign this way.

No signature software

One of the requirements of a deed is that it needs to be on paper so when you sign a deed that allows for counterparts, you’ll need to sign a paper copy.

This tip is especially important for deeds with witness sections - i.e. an individual that signs a deed with a witness section underneath.

If you want to learn more about signing deeds, you can read our article here.

For signing agreements, be sure to check out this article.

I wish you every success in your ventures!

Got questions or comments about signing your documents? Be sure to leave them below.


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Vivian Michael
 

Vivian Michael is a lawyer and founder of Michael Law Group. Vivian's mission is to deliver the best quality business legal services to entrepreneurs launching an Australian business, wherever they are in the globe.

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