Settlement Agreements: Who Should Sign?
The recent California appellate ruling in Glen Provost v. Regents of the University of California sheds significant light on judicial views of written settlement agreements, writes Robert S. Luft in the JAMS ADR blog.
“For corporations, whether or not a settlement agreement can be enforced depends on who signs it. A corporation acts through its employees and agents and that raises the question of what employee or agent can bind the entity to Judgment enforcement. This issue was partially answered in the Provost case.” Luft explains.
It’s best to err on the side of over qualification of a corporate employee representative to sign a settlement agreement to ensure it will be enforceable, advises Luft.
