Can a director sign an employment contract with himself?
Can a director sign a labor contract with himself?. A matter of concern for Mr. Le Thanh Hai (Quan Thanh commune, Nghe An).
Reply:Pursuant to Clause 3, Article 141 of the 2015 Civil Code, it is stipulated as follows:
Article 141. Scope of representation
1. A representative may only establish and perform civil transactions within the scope of representation based on the following grounds:
a) Decision of competent authority;
b) Charter of the legal entity;
c) Authorization content;
d) Other provisions of law.
2. In case the scope of representation cannot be specifically determined as prescribed in Clause 1 of this Article, the legal representative has the right to establish and perform all civil transactions for the benefit of the represented person, except where otherwise provided by law.
3. An individual or legal entity may represent many different individuals or legal entities but may not, on behalf of the represented person, establish or perform civil transactions with himself or with a third party of whom he is also the representative, unless otherwise provided by law.
According to the above provisions, individuals and legal entities are not allowed to enter into civil transactions with themselves or with a third party whose representative they represent. Therefore, the director (legal representative) of the company will not be able to represent the legal entity to sign a labor contract (conduct civil transactions) with himself.
