Document background
A Board Resolution For Entering Into Agreement is a crucial corporate governance document required under Indonesian law when a company needs to formally authorize the execution of significant agreements or contracts. This document is mandated by Law No. 40 of 2007 on Limited Liability Companies and demonstrates that proper corporate procedures have been followed in approving business transactions. It includes essential details such as meeting proceedings, attendee information, deliberations, and specific authorizations granted. The resolution serves multiple purposes: it provides evidence of corporate authority, protects stakeholder interests, ensures compliance with regulatory requirements, and creates a clear audit trail for corporate decision-making. It's particularly important in Indonesia where corporate governance requirements are strictly regulated and formal documentation of board decisions is essential for legal validity.
