In the first of our new series of corporate snapshots focusing
on BVI law, our BVI Corporate and Banking and Finance partner
Christian Burns-Di Lauro explains the concept of ostensible
authority in the jurisdiction.
Sections 29, 31 and 32 of the BVI Business Companies Act, 2004
(the BCA) state no act of a BVI company is
invalid by reason only of the fact that the BVI company did not
have the capacity, right or power to perform the act. In addition,
a BVI company may not assert against a person dealing with it that
the BCA or its constitutional documents have not been complied
with, or a person held out by it as a director has not been duly
appointed or does not have the authority to exercise a power which
a director of the BVI company carrying on business of the kind
carried on by the BVI company customarily has authority to
exercise, unless the person has, or ought to have, by virtue of his
relationship to the BVI company, knowledge of such matters.
