Irrevocable Authorization and Direction (ON)

Summary

This precedent is a standard irrevocable authorization and direction to receive settlement funds from the opposing party in Ontario. This precedent includes practical guidance and drafting notes. An irrevocable authorization and direction is an authority given by a principal to an agent for the purpose of securing some form of benefit to a third party beneficiary and a unilateral termination by the principal is not permitted. A party can give direction to the opposing party to pay settlement funds directly to their lawyer using an irrevocable authorization and direction. This irrevocable authorization and direction should include: (1) who the authorization and direction is addressed to and who is it from; (2) irrevocable authorization and direction to transfer the settlement funds; (3) irrevocable authority; (4) binding authorization and direction even if the law firm is no longer representing the party; and (5) date and signature of a witness and the principal party sending the ...