When a Company Sells an Apartment: Verifying the Signatory

A manager conducts the viewing, a familiar brand appears in messages and a different company is named in the draft agreement. This is not necessarily a problem, but the buyer must establish who is selling the apartment and who can sign on that person's behalf.

Follow the chain: seller in the property records → signatory → authority → payment recipient. A logo, business-card title or role in negotiations does not establish that chain.

🧾 Identify the legal seller

Obtain current property information and compare the owner with the draft agreement. The company's exact name and identification number matter more than the development's trading name.

If an agent, management company or another organisation's sales department handles negotiations, establish its role. Someone may arrange a viewing without authority to sell. Distinguish the intermediary, owner and party assuming contractual obligations.

A future-property transaction may have a different structure from the sale of an already registered apartment. This article addresses signatory checks; identify the particular legal structure separately rather than forcing it into a familiar template.

Compare official company information

Use Georgia's official Business Registry. Check the organisation's identity and available current information about its status and representatives.

A photograph of an old extract is insufficient on its own. Managers or other material details may have changed during negotiations. Record the source and date, then confirm important information again before signing.

Where records indicate liquidation, reorganisation, a special procedure or restrictions, do not interpret the outcome from one label. A lawyer should establish who can act and what this means for the transaction.

General property checks are discussed in BuyHome's document-verification guide. The additional task here is linking the property to its corporate seller.

Director, shareholder and manager are different capacities

Ask in advance who will sign. Compare the person's identity with the supporting documents and establish the capacity in which they act.

Shareholder status should not be substituted for signatory authority. Likewise, “sales director” does not explain the right to represent the company in the proposed transaction.

Georgia's Law on Entrepreneurs provides rules for representation by a management body, including where several managers are involved. Establish whether individual signing is permitted or joint action is needed, taking account of the relevant documents and records.

Do not interpret one extract entry in isolation. Ask a lawyer to compare it with the law, company constitution and transaction circumstances.

Where a representative uses a power of attorney

Request the authority document and check authenticity, form, duration and continuing effect. Identify both the representative and the person who issued it for the company.

Compare the powers with the intended actions:

• entering into the specific agreement;
• agreeing price and other material terms;
• signing handover records and applications;
• registration actions;
• receiving money where the structure provides for it;
• any delegation and its conditions.

These questions do not mean every power always requires identical wording. Sufficiency and formal requirements depend on the document and procedure.

Authority to sign should not automatically be treated as authority to receive the price into a personal account. Check payment arrangements separately.

Determine the relevant corporate approvals

Ask whether the sale requires decisions by shareholders, another body or other approvals. The answer depends on legal form, company documents, transaction characteristics and applicable rules.

Do not demand the same resolution from every company or accept a blanket assurance that a director can do everything. A lawyer must identify the relevant basis and its relationship to external representation powers.

Where a decision is provided, establish its connection to the company, property and proposed terms, and review its adoption as required for the transaction. A stamped document does not replace assessment of its content.

📋 A verification map

Link	What to compare	Question to resolve
Property	Cadastral code, owner and agreement	Is the company selling the intended asset?
Company	Identification number and current information	Is the party correctly identified?
Signatory	Identity, records and authority document	Can this person perform the required actions?
Signing arrangement	Individual or joint representation	Are all necessary people involved?
Approvals	Applicable corporate documents	Have material conditions been addressed?
Payment	Recipient, account and contractual basis	Who receives the money and why?

Explain discrepancies rather than covering them with the brand's reputation. Sharing an office does not make separate companies one legal person.

Verify payment details as a separate stage

Compare the recipient name, account, currency, reference and payment sequence with the agreed contract. Confirm details through an independently established official contact, particularly if they change shortly before payment.

If asked to pay another company, individual or representative, pause and establish the legal basis. Check how payment is credited, who confirms performance and which evidence the buyer receives.

“They are our partner” is not sufficient by itself. Before transferring money, establish a documented connection to your obligation. A shared director surname or common shareholder does not replace the legal check.

Where a specifically agreed payment mechanism is used, verify its terms separately. An intermediary in settlement does not remove the question of how the obligation to the seller is fulfilled.

Foreign documents and translations

If the company or authority documents involve another country, determine the forms accepted in the actual procedure. Translation, certification, apostille or legalisation should not be prescribed through a universal rule without checking the circumstances.

Compare identification numbers and legal identity across language versions. Transliteration differences may need explanation, while similar names do not prove one company.

A lawyer should establish applicable law and document sufficiency before the settlement date. Translation conveys content; it does not replace an authority assessment.

Repeat material checks before signing

Compare the final agreement with the information already reviewed. Confirm that the signatory has not changed, parties and payment details match, and annexes relate to the intended property.

If a different person attends, do not transfer the previous assessment to them. Obtain and review their authority before signing. Do the same when joint-signing arrangements or the recipient changes.

Retain final documents, payment evidence and the information supporting the check. Avoid collecting unnecessary personal copies from company staff; data should fit the agreed task and process.

A hypothetical mismatch

Suppose company A owns the apartment, an employee of company B signs and company C is to receive payment. This is not automatic proof of wrongdoing, but three separate links cannot be resolved by saying they belong to the same group.

Establish on whose behalf the person signs, the supporting authority and why paying a third party properly discharges the obligation. Until the answers are agreed and reviewed, settlement is not ready.

Frequently asked questions

Can a company owner definitely sign the sale?

Do not rely on share ownership alone. Representation authority needs a separate check.

Does a company stamp resolve authority?

It should not replace checking identity, status and the signatory's applicable documents.

Is one check at the beginning enough?

Early review is useful, but confirm material final information before signature and payment.

✅ Establish the complete chain before settlement

Know who sells the apartment, who signs, why they have authority, which other people or approvals are needed, who receives the money and what proves performance. Resolve an unclear link through documents.

When buying through BuyHome, tell us if the seller is a company. We can help organise requests and the sequence of discussions; a lawyer assesses authority and legal transaction terms.