Anytime you create a legal document for your company it is a serious situation. It is essential that only those people who have authority are creating such agreements.
The Journal of Urgent Care Medicine explains that entering into a contract requires that it occurs with someone who is legally authorized to do so. If someone without authority creates one, it could cause issues for your company.
Authority
Your company should limit who has the ability to enter into contracts. Usually, the right is only for business owners or executives. Typically, if you are a general employee, you do not have the ability to sign contracts.
Potential problems
If you enter into a contract and you do not have the authority to do so, it could invalidate the contract. It also could lead to issues because the people who are in charge of contracts may be unaware of the one you created.
Internal policy
You should be able to consult your employee handbook or other internal documents to find out who has the authority to create and sign contracts. If you are unsure, you should consult with someone who is higher up in the company than you. Never sign a document or create one without express permission to do so. Unless you own the business, it is always better to be safe about creating documents. Make sure you get approval beforehand to avoid any issues.
In most cases, if you do not know if you have the right to sign contracts, then you probably do not. You should never just move ahead without permission as it could lead to problems for you and the business.
