Common use of Authorized Signer Clause in Contracts

Authorized Signer. An owner of the account may authorize another person (referred to as an “authorized signer”) to operate the account and conduct transactions on the owner’s behalf. The owner does not give up any rights to act on the account and is responsible for any transactions of an authorized signer. We undertake no obligation to monitor transactions to determine that they are on the owner’s behalf. In Tennessee, an additional authorized signer has power of attorney with respect to the account. The owner may terminate the authorization at any time, and the authorization is automatically terminated by the death of the owner. However, we may continue to honor the transactions of the authorized signer until we have received written notice of the termination of authority and have a reasonable opportunity to act on that notice. Restrictive Legends and Stale-Dated Checks. We are not required to honor any restrictive legend on checks you write. Examples of restrictive legends are “must be presented within 90 days” or “not valid for more than $1,000.00.” We are not responsible for any losses, claims, damages, or expenses that result from your placement of these or other special instructions on your checks. We are not obligated to, but may at our option, pay a check presented for payment more than six months after its date. If you do not want us to pay a stale-dated check, you must place a stop-payment order on the check in the manner we have described elsewhere in this agreement.