Avoiding Legal Pitfalls: A Texas Attorney’s Guide to Proper Signature Blocks
Improperly formatted signature blocks can invalidate contracts, create personal liability, and lead to costly disputes. As a Texas business law attorney, I’ve seen these seemingly minor errors cause major headaches for business owners. This guide will help you understand how to properly format signature blocks for different Texas business entities.
Common Pitfalls to Avoid
Before diving into specific formats, be aware of these critical signature block mistakes:
- Unclear Authority: Failing to specify the signer’s role and authority to bind the entity
- Missing Entity Details: Omitting crucial entity information like state of formation
- Inconsistent Names: Using variations of the entity’s legal name
- Improper Titles: Using incorrect or unofficial titles that don’t match company records
- Mixed Capacities: Not clarifying whether someone is signing personally or for an entity
Signature Block Formats by Entity Type
1. Individual Signing for Themselves
Simple but crucial - use your legal name as it appears on official documents.
[Signature]
John Doe
2. Sole Proprietorship Using a DBA
Texas requires the individual’s name and properly registered DBA name.
[Signature]
John Doe
d/b/a John’s Landscaping
3. Limited Liability Company (LLC)
Texas LLCs must clearly indicate the signer’s authority under the company agreement.
Sunrise Realty Texas LLC,
a Texas Limited Liability Company
[Signature]
By: Jane Smith
Title: Managing Member
4. Limited Partnership (LP)
Texas LPs typically sign through their general partner entity.
Westfield Texas Development LP,
a Texas Limited Partnership
By: Westfield Texas GP LLC,
a Texas Limited Liability Company
Its: General Partner
[Signature]
By: Sarah Johnson
Title: Manager
5. Corporation
Corporate officers must use their exact titles as listed in corporate bylaws.
Texas Tech Innovators Inc.
[Signature]
By: Alex White
Title: Chief Executive Officer
6. Trust or Estate
Fiduciaries must reference their specific authority.
The John and Jane Doe Texas Family Trust
[Signature]
By: Emily Doe
Title: Trustee
7. LLC with Appointed Officers
Document both the entity structure and officer authority.
Lone Star Ventures Texas LLC
[Signature]
By: Michael Green
Title: President
When to Seek Legal Counsel
Consider consulting a business attorney when:
- Signing complex or high-value contracts
- Dealing with multiple entity layers
- Establishing new signing authorities
- Setting up corporate governance structures
- Responding to signature authority challenges
Proper Documentation Practices
Beyond the signature block itself:
- Maintain current records of authorized signers
- Keep copies of resolutions granting signing authority
- Document any specific signing limitations
- Regularly update authorized signer lists
- Verify entity status with Texas Secretary of State
Contact Hessquire Law PLLC at paul@hessquire.com for guidance on signature blocks or assistance with proper entity formation and corporate governance.