An Authorization Letter For Promissory Note is a crucial document used in Malaysian financial and business transactions when a principal needs to delegate authority to another party to handle matters related to a promissory note. This document becomes necessary when the principal cannot personally manage the promissory note due to various circumstances such as geographical distance, business commitments, or other constraints. The letter must comply with Malaysian legislation, including the Bills of Exchange Act 1949 and Powers of Attorney Act 1949, and typically includes detailed information about the promissory note, the scope of authority granted, and the identities of all parties involved. The document requires proper execution and stamping to be legally enforceable in Malaysia.
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1. Date and Place: Current date and location where the letter is being executed
2. Recipient Details: Full name and address of the person/institution to whom the authorization letter is addressed
3. Subject Line: Clear indication that this is an Authorization Letter for Promissory Note
4. Author Introduction: Introduction of the person granting the authorization, including full legal name and identification details
5. Promissory Note Details: Specific details of the promissory note including date, amount, maker, and maturity date
6. Authorization Statement: Clear and specific statement of the powers being granted regarding the promissory note
7. Duration of Authority: Specific timeframe for which the authorization is valid
8. Signature Block: Space for signature, name, and details of the authorizing person
1. Special Instructions: Used when specific conditions or limitations need to be placed on the authorization
2. Multiple Authorized Parties: Required when authority is being granted to more than one person, specifying if they can act jointly or severally
3. Revocation Clause: Optional clause specifying conditions under which the authorization may be revoked
4. Witness Section: While not always required, may be included for additional verification, especially for high-value promissory notes
5. Indemnification Clause: Optional protection for the authorized party when acting under the authorization
1. Copy of Promissory Note: Attached copy of the referenced promissory note for clear identification
2. Specimen Signature: Where required, specimen signatures of both the authorizing and authorized parties
3. List of Specific Powers: Detailed enumeration of specific actions the authorized party may take regarding the promissory note
4. Identification Documents: Copies of relevant identification documents of the authorizing party
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