Power of Attorney (Bid Signing)

A Power of Attorney (for bid signing) is a legal document by which a company or joint venture grants a named individual the authority to sign bid documents, make declarations, and enter into contractual commitments on its behalf in a specific procurement process.

What is a Power of Attorney?

International procurement requires that bid documents be signed by a person with the legal authority to bind the bidding entity. Where the signatory is not the company's registered director or statutory representative, a Power of Attorney must be provided to demonstrate that the authority to sign has been properly delegated. The document typically names the authorised signatory, identifies the specific tender or class of tenders for which authority is granted, and bears the signatures and, in many jurisdictions, the notarised seal of the company's directors or board.

For joint ventures, a Power of Attorney is commonly used to authorise the lead partner to act on behalf of all JV members, sign the bid, and, if awarded, sign the contract. The authority granted must cover all the actions the lead partner will take: submitting the bid, attending bid opening, signing any bid-modification, and ultimately executing the contract. An unsigned bid or one signed by a person whose authority cannot be documented is a material-deviation that disqualifies the submission.

Why Power of Attorney matters for bidders

This is a frequently overlooked compliance item that disqualifies otherwise strong bids. Firms should confirm in advance that the person who will sign the bid is either the statutory representative (whose authority is evident from registration documents) or holds a valid, correctly worded Power of Attorney that covers the specific tender. For international submissions, the document may need to be notarised and apostilled under the Hague Convention so it is legally effective in the country of the contracting authority. Preparing and legalising the Power of Attorney well before the submission deadline is essential, since notarisation and apostille can take days to weeks in some jurisdictions.

FAQ

Does a Power of Attorney expire?

Yes. Powers of attorney are typically valid for a stated period or for a specific transaction. An expired or transaction-limited power does not cover a new bid. Bidders should check the validity date before each submission.

Can one Power of Attorney cover multiple tenders?

A general Power of Attorney that grants broad authority to sign procurement documents across all tenders for a defined period is common, though some buyers require a specific power naming the individual tender. Read the bidding documents to confirm what is acceptable.

Is a company stamp required alongside the signature?

Many civil-law jurisdictions recognise company stamps (company seals) as evidence of corporate authority, and some contracting authorities in Asia, the Middle East, and Eastern Europe require them. The bidding documents and the laws of the contracting country govern this requirement.