ELECTRONIC POWERS OF ATTORNEY AND REPRESENTATION

ELECTRONIC POWERS OF ATTORNEY AND REPRESENTATION

An electronic power of attorney is required where a representative must perform a specific legal action on behalf of the company: submit an application, sign a document, obtain a result, work in an electronic service or represent the company before a third party. The Civil Code defines representation and the form of a power of attorney, while an electronic signature allows the document to be executed digitally where the relevant action permits that form.

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Representative's Authority

A power of attorney starts with the specific action. The text identifies the principal, representative, organisation or service before which the representative acts, the list of rights, term and right of substitution where required. The more precisely the authority is described, the easier it is for a third party to accept the document and understand the limits of representation.

On behalf of a legal entity, the power of attorney is issued by the director or another person holding the appropriate corporate authority. The representative uses their own electronic signature. The director's personal key remains with the director, while the representative's right is evidenced by the power of attorney and their own signature in the service.

Special rules may apply for a bank, court, state register, intellectual property or a particular commercial transaction. The power of attorney is therefore drafted for the specific channel in which it will be used. This gives the representative sufficient authority for the task while leaving the director in control of other contracts, payments and corporate decisions.

If a representative works with several authorities or counterparties, the company may issue separate powers of attorney for different functions. One may cover government applications, another receipt of documents, and a third a specific commercial transaction. This division makes it easier to cancel one authority once the work is complete while leaving the representative's other rights in force until their stated expiry.

Form of Power of Attorney and Electronic File

Article 245 of the Civil Code provides that the form of a power of attorney must correspond to the form of the transaction for which authority is granted. For some actions, an electronic document with the appropriate signature is sufficient. Where an action is subject to a special form, the relevant certification or other procedure prescribed by law applies.

In many electronic government systems, a representative may attach an electronic power of attorney with QES or an electronic copy certified with their own QES where the rules of the particular service permit this. The court system also provides for submission of an electronic power of attorney together with the representative's electronic documents.

It is convenient for the company to store the final power-of-attorney file, signature data, issue date and term in one corporate repository. A separate list records current powers of attorney by representative. Once authority is revoked, corresponding access to the bank, government portal or corporate service is also closed.

Power of Attorney for a Transaction or Ongoing Work

For a one-off transaction, a narrow document can be issued: sign a particular contract, collect goods, submit an application or obtain a document. For ongoing work by an accountant, lawyer or manager, the list of actions may be broader but remains linked to the role and the representative's actual duties.

The term should reflect the duration of the work. A limited period is appropriate for a short transaction, while ongoing representation should have a term consistent with the company's corporate arrangements. A right of substitution should be included only where the business genuinely intends to delegate particular actions to another person.

UBC can prepare a power of attorney for a specific bank, public service, contract or representation and align it with the relevant corporate resolution and office-holder authority. The director receives a document with a clear list of powers, the representative receives a practical instrument for the required action, and the company retains clear control over all authorities granted.

For use abroad, the requirements of the relevant country and institution concerning certification, translation or legalisation of the document are considered separately.

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Why Choose UBC?

The principal activities of the UBC group include consulting, financial and investment services, searching for and selecting investors for businesses and arranging finance, the purchase and sale of established businesses in Ukraine, Europe and other countries, IT services, and commercial property development in Ukraine and abroad. For business development we also provide company registration in Ukraine, ready-made companies in the EU, company registration in England and other countries, corporate law, offshore and offshore company services, business consulting, audit, certification, LLC registration, registration of financial companies, asset management companies and investment funds, registration of joint-stock companies, securities and bond issues, and support for foreign investment.

Our continuously expanding network of regional and international partners directly assists in resolving our clients' matters when doing business both in Ukraine and abroad.

We are always focused on the result you need and will do everything required to achieve it within the necessary timeframe, taking detailed account of your wishes and requirements. Why is it better to start a business in Ukraine with UBC? The answer is simple: we have substantially more practical experience, resources and opportunities.

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Frequently Asked Questions

Is an electronic power of attorney always sufficient?

The required form depends on the action: it must comply with the requirements applicable to the transaction, the law and the particular electronic system.

Does a qualified electronic signature replace a power of attorney?

A qualified electronic signature identifies the signatory, while authority is confirmed by the charter, the person's office, a power of attorney or delegation provided for by the relevant system.

Can a representative's authority be limited by amount?

Yes. The monetary limit, types of documents, counterparties, term and other conditions can be stated expressly in the authority granted.

How is electronic representation terminated?

Document the termination of authority and at the same time close the representative's roles, accounts and access rights in all relevant systems.

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