Supplier Authorisation Letter for the United Kingdom

Supplier Authorisation Letter Template for England and Wales

A Supplier Authorisation Letter is a formal document governed by English and Welsh law that officially authorizes a supplier to act on behalf of a company in specific capacities. It establishes the legal relationship between the authorizing company and the supplier, defining the scope of authority, duration, and any conditions attached to the authorization. This document is crucial for establishing clear lines of authority and protecting both parties' interests in their commercial relationship.

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What is a Supplier Authorisation Letter?

The Supplier Authorisation Letter is a critical business document used when a company needs to formally authorize a supplier to act on its behalf or provide specific goods or services. Operating under English and Welsh law, this document establishes clear parameters of authority, helping prevent unauthorized actions and protecting both parties' interests. It typically includes details about the scope of authorization, duration, territorial limitations, and any specific conditions that must be met. This document is particularly important for maintaining supply chain integrity and ensuring compliance with regulatory requirements.

What sections should be included in a Supplier Authorisation Letter?

1. Letter Header: Company letterhead, date, and reference number

2. Recipient Details: Full name and address of the recipient

3. Purpose Statement: Clear statement of authorization being granted

4. Scope of Authority: Specific details of what the supplier is authorized to do

5. Duration: Period for which the authorization is valid

6. Signature Block: Authorized signatory details and signature

What sections are optional to include in a Supplier Authorisation Letter?

1. Territory Limitations: Geographic limitations of authorization - include when authority is limited to specific regions

2. Product/Service Specifications: Detailed list of authorized products/services - include when authorization is limited to specific items

3. Conditions: Specific conditions or requirements for the authorization - include when authorization is subject to specific terms

What schedules should be included in a Supplier Authorisation Letter?

1. Product List: Detailed list of authorized products or services

2. Company Registration Documents: Proof of company status and authority to issue authorization

3. Specimen Signatures: List of authorized signatories when multiple signatories are authorized

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

England and Wales

Publisher

Genie AI

Document Type

Letter of Authority

Sector

Banking

Cost

Free to use
Industries

Common Law of Contract: Fundamental principles of contract law in England and Wales, including offer, acceptance, consideration, and intention to create legal relations

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract to which they are not a direct party

Misrepresentation Act 1967: Law dealing with false statements made during contract negotiations that induce parties to enter into contracts

Commercial Agents (Council Directive) Regulations 1993: Regulations governing the relationship between commercial agents and their principals in the sale or purchase of goods

Supply of Goods and Services Act 1982: Legislation setting out implied terms in contracts for the supply of goods and services

Competition Act 1998: Law governing competition and anti-competitive practices, relevant for exclusive supplier arrangements

Law of Agency: Legal principles governing relationships where one person (agent) is authorized to act on behalf of another (principal)

UK GDPR: Data protection regulation governing the processing of personal data in the UK post-Brexit

Data Protection Act 2018: UK's implementation of data protection standards, working alongside UK GDPR

Electronic Communications Act 2000: Legislation providing legal recognition of electronic signatures and electronic communications

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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