Real Estate transactions involving Corporations, Partnerships, Limited Partnerships and Limited Liability Companies have specific requirements for proper execution of documents.
In general, business entities must be in “good standing.” A business is in good standing if its annual filing is current and fees are paid, and not past due. The Secretary of State’s office keeps a record of all business filings and publishes it on its website, http://sos.georgia.gov. The record also identifies the person(s) with authority to sign documents on behalf of a business. Persons with titles such as “president,” “vice president,” “member,” “manager” or “partner” typically have the required authorization.
To avoid potential delays or even cancellation, agents and lenders are advised to consult the website at the start of representation of a business. Be sure the business is not behind in filing or payment of fees. Also confirm that the person claiming authorization from the business actually has it.
In instances where the business and/or officer of the business reside outside of the US, advise your closing attorney early in the process. Foreign parties have even more requirements to satisfy in order to participate in a land transaction and therefore more time consuming to prepare.