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Third Party Authorization Letter for Germany

Third Party Authorization Letter Template for Germany

A Third Party Authorization Letter under German law (Vollmacht) is a formal legal document that empowers a designated individual or entity to act on behalf of the principal in specified matters. Governed by the German Civil Code (BGB), particularly sections §164-181, this document establishes the scope, duration, and limitations of the authorized party's powers. It serves as official evidence of delegated authority and must comply with German legal requirements regarding form, content, and execution. The document can be used for both business and personal matters, requiring clear specification of the granted powers and responsibilities.

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Third Party Authorization Letter

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What is a Third Party Authorization Letter?

The Third Party Authorization Letter is a crucial legal instrument under German law that enables individuals or organizations to delegate specific powers and responsibilities to chosen representatives. This document is essential when the principal cannot or prefers not to handle certain matters personally, requiring formal authorization for another party to act on their behalf. The letter must comply with German Civil Code (BGB) requirements, particularly regarding agency and representation (Stellvertretung). It's commonly used in various scenarios, from business transactions to personal matters, and can be either general or limited in scope. The document typically specifies the extent of authority, duration, and any limitations on the powers granted, ensuring clarity for all parties involved and third parties who may rely on the authorization.

What sections should be included in a Third Party Authorization Letter?

1. Date and Place: Current date and location where the authorization letter is being issued

2. Principal Details: Full name, address, and identification details of the person granting the authorization

3. Authorized Party Details: Full name, address, and identification details of the person being authorized

4. Scope of Authorization: Clear and specific description of the powers being granted and their limitations

5. Duration of Authority: Specific timeframe for which the authorization is valid

6. Principal's Declaration: Formal statement of authorization and acknowledgment of the consequences

7. Signature Block: Space for principal's signature, date, and any required authentication

What sections are optional to include in a Third Party Authorization Letter?

1. Substitute Authorization Rights: Section specifying whether the authorized party may delegate their authority to others (Untervollmacht)

2. Revocation Terms: Specific conditions under which the authorization can be revoked, if different from standard legal provisions

3. Multiple Authorized Parties: Section defining whether multiple authorized parties can act independently or must act jointly

4. Governing Law Declaration: While German law applies, this section may be added when the authorization might be used internationally

5. Data Protection Clause: GDPR-compliant clause when the authorization involves handling personal data

What schedules should be included in a Third Party Authorization Letter?

1. Copy of Principal's ID: Certified copy of the principal's identification document

2. Specimen Signature: Sample signature of the authorized party for verification purposes

3. List of Specific Powers: Detailed enumeration of specific actions or transactions covered by the authorization, if extensive

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Germany

Publisher

Ƶ

Document Type

Letter of Authority

Sector

Banking

Cost

Free to use
Relevant legal definitions




















Clauses




















Relevant Industries

Banking and Financial Services

Real Estate

Healthcare

Legal Services

Insurance

Education

Manufacturing

Retail

Logistics and Transportation

Public Administration

Professional Services

Construction

Telecommunications

Relevant Teams

Legal

Human Resources

Compliance

Administration

Corporate Secretariat

Risk Management

Operations

Finance

Executive Office

Procurement

Contract Management

Relevant Roles

Legal Counsel

Corporate Secretary

Managing Director

HR Manager

Compliance Officer

Risk Manager

Operations Manager

Administrative Assistant

Business Development Manager

Property Manager

Finance Director

Contract Administrator

Executive Assistant

Department Head

Project Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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