Partnership Signing Authority 

Yes, it is perfectly legal and commonly practiced to have 3 out of 4 partners as signing authority.
Just ensure the clauses are properly drafted in the supplementary partnership deed and in the bank resolution.

03/12/2025 00:02 am

Yes it can be done.

03/12/2025 00:13 am

Yes, it is legally permissible to have a partnership contract that allows any 3 out of 4 partners to act as signing authority, provided this arrangement is clearly mentioned in the Partnership Deed and agreed to by all partners.

Under the Indian Partnership Act, 1932, partners are free to decide their mutual rights, duties, and authority through a written partnership deed. There is no mandatory rule that all partners must sign every document. Therefore, you can validly authorize a majority of partners to sign on behalf of the firm, especially when one partner is not based in the same city and cannot be physically present for every transaction.

However, to avoid future disputes, the partnership deed should clearly specify:

• Which documents can be signed by 3 out of 4 partners (e.g., routine business contracts, banking documents).
• Matters that may still require unanimous consent, such as admission of a new partner, major loans, sale of assets, or dissolution of the firm.
• The liability of non-signing partners, ensuring that decisions taken by authorized signatories bind the firm as a whole.

It is also advisable to inform banks, vendors, and statutory authorities about the authorized signatory structure and, where required, pass a written resolution. Consulting a legal professional while drafting the deed will help ensure clarity, compliance, and protection of your investment interests.

19/12/2025 15:10 pm

Yes, such an arrangement is legally permissible, but it must be properly structured.
1. Check the Partnership Deed : First, examine the existing partnership deed to see what provisions it contains regarding signing authority and execution of documents.
2. Reconstitution of Partnership Deed : If the deed does not permit “any 3 out of 4 partners” to act as signing authority, the partnership deed can be reconstituted/amended to specifically provide for this arrangement.
3. Alternative – Power of Attorney : Alternatively, you may execute a Power of Attorney in favour of one or more partners to sign documents on your behalf, which is commonly used when a partner is not based in the same city.

Before proceeding, ensure the arrangement is clearly recorded in writing to avoid future disputes.

25/12/2025 17:09 pm

Dear Sir, Yes, it is absolutely okay and actually quite common to structure a partnership agreement this way. In legal terms, this is often referred to as a joint signing authority or a threshold requirement.

31/12/2025 11:40 am

Yes, if other partners also agree then an agreement should be executed among partners appointing a partner to act as a signing authority and alo to manage the affirs of the firm as managing opartner. A tight agreement is requiired to be signed by parties. 

06/01/2026 15:35 pm

Yes, if other partners too agree then by consent of all partners, any partner can can be given signing authority on behalf of all partners and firm and/or can be appointed as managing partner. A tight agreement is required to be executed among the parties so as to avoid future complication.  

06/01/2026 21:50 pm