Notary

What it means

A notary is a state-appointed lawyer who drafts public deeds, certifies signatures and documents, acts as a court commissioner in probate, keeps central registers and takes money, documents or securities into escrow. Notarial documents carry special evidential weight.

The most important document is the notarial deed, in which the notary records legal acts such as a company's founding deed, general meeting resolutions or contracts. A notarial deed in which the debtor consents to enforcement can serve as an enforcement title.

A more common service is signature certification, confirming that a specific person signed a document, and certification that a copy matches the original. These are required, for example, for contracts submitted to the land register, filings with the commercial register and powers of attorney.

How it works in practice

For companies, a notary matters in company formation, amendments to the memorandum, general meeting resolutions changing the statutes or registered capital, and transfers of business shares. In some cases the notary can register changes in the commercial register directly and electronically.

Notarial escrow is used to settle transactions safely, for example when buying property or a business share. The buyer deposits money with the notary, who pays it to the seller only once agreed conditions are met, such as registration in the land register.

Notaries also keep the Notarial Central Register, which includes the register of liens over movable assets and receivables. When buying a company or granting a loan, it is checked to see whether assets are encumbered.

What to watch out for

Notary fees are set by regulation and depend on the value of the transaction, so they can be significant for large deals. It is worth asking for a fee estimate in advance. For simple acts, such as forming an s. r. o., electronic routes without a notarial deed are also available.

The notary is responsible for the correctness of the deed but does not assess whether a contract is commercially advantageous. If a company needs advice on contract content, taxes or risks, it should also consult a lawyer or tax adviser rather than relying on the notary alone.