The company seal is the company's signature
In China the company chop carries presumptive authority — a rogue holder can bind the company to obligations the board never approved.
The wrong assumption: “The legal rep needs the chop for convenience.”
A rogue legal representative — or any employee — holding the chop can bind the company to contracts, loans, and guarantees that are extremely difficult to repudiate, even where internal authority was clearly exceeded.
The right approach: Implement dual-custody chop protocols — no single person holds the chop alone — use a chop-use ledger, restrict the legal-rep chop separately, and have a pre-planned response for a departing legal representative who refuses to surrender the seals.
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