Power or Capacity Clause Samples
The "Power or Capacity" clause defines the legal authority of parties to enter into and perform under the agreement. It typically requires each party to confirm that it has the necessary legal standing, corporate authority, or other capacity to execute the contract and fulfill its obligations. For example, a company signing a contract would need to ensure that its representative is authorized to bind the company. This clause helps prevent disputes over the validity of the agreement by ensuring all parties are properly empowered to participate, thereby reducing the risk of unenforceable contracts due to lack of authority.
Power or Capacity. The Purchaser, if an entity, has all required corporate or other power and authority or, if an individual, the legal capacity to enter into and perform this Agreement and the other Transaction Documents and to carry out the transactions contemplated hereby and thereby, including the purchase of the Securities.