Background
The most common method by which a company may execute a document
is that prescribed by s127 of the Corporations Act
2001 (Cth) (Corporations Act). By doing
so, parties dealing with the company can be protected by relying on
the assumptions listed in s129 of the Corporations Act when dealing
with the company, including by assuming that a document is duly
executed if it appears to have been signed in accordance with s127
Corporations Act.
As a result of the exclusion of the Corporations Act under
the Electronic Transactions Act 1999 (Cth) and
its regulations, it is generally accepted that executions under
s127 of the Corporations Act can only be made in
“wet-ink”. That is, before the changes summarised below
were introduced and are now effective and will remain effective
until 31 March 2022 (or later if determined otherwise).
