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Signing a Contract with an Irish Company

Updated on Monday 09th May 2016

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Signing-a-Contract-with-an-Irish-CompanyLegislation regarding signing contracts in Ireland

 A contract is an agreement concluded by two or more parties that enforced legal obligations on all parties. Due to its legal character, a breach of contract will be remedied within an Irish court. Ireland’s legislation governing contracts is quite comprehensive, almost every law containing provisions about the legal obligations rising from signing contracts. Among the laws setting out the legal obligations of contracts in Ireland are:

  • - the Standard Incorporated Law Society within the Law Society of Ireland which refers to house property purchases,
  • - the Employment Law which contains provisions about singing employment contracts,
  • - the Companies Law in Ireland, which set out the provisions of signing contracts with companies,
  • - the Sale of Goods Act of 1983.

Our Irish specialist in company incorporation may provide you with more information about the legal obligations of contracts.

The Irish Companies Law with respect to contractual obligations

When it comes to singing a contract with an Irish company the main legislation applying is the Commercial Code. Article 38 in the Companies Law refers to the form of contract and establishes that a contract signed by two private persons on behalf of Irish companies, must be in writing and must bear the companies’ seals. The contract must also be signed by both parties concluding the contract. In case one of the private persons cannot sign the contract, they can appoint another person. The Companies Law also allows the conclusion of oral contracts between Irish companies, but this form of contract is rarely employed nowadays.

What are the steps of legal enforceable contracts in Ireland?

The conclusion of contracts in Ireland is done by following five steps:

  • - making an offer,
  • - accepting the offer on behalf of the other party,
  • - considering the offer,
  • - establishing the contractual terms,
  • - signing the contract.

However, there is one more aspect to be taken into consideration when signing a contract with a company in Ireland: the business capacity of concluding the contract. The law establishes a company must have the power to enter a contract and the person empowered to sign the contract. These two aspects are defined in the company’s Memorandum and Articles of Association.

For detailed information about the Companies Law you may contact our experts in Ireland.

 

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