This guide will:
- Provide a general overview of SJU's University Contracting.
Overview
When an agreement between SJU and second party requires a written agreement, in lieu of or in addition to a Purchase Order, it is necessary to issue a contract. A "Contract" is any document intended to set forth an agreement or obligation of any kind between SJU and an outside party. This would include any permit or transfer of legal rights or assumption of obligations. Whether or not a contract is necessary, in addition to or in lieu of a PO, depends on many factors, including how the goods / services are being obtained, the complexity of the services / goods, the contract amount, etc. Often a contract is executed at the Second Party's request.
As a higher education institution, SJU is subject to certain legal requirements and restrictions that affect its ability to accept certain contract terms. Therefore, the review and execution of all university agreements must follow the appropriate university procedure as administered by these offices:
It is assumed that those who present contracts for approval and signature have followed the normal business practices and policies of the University relating to initiating a business relationship or transaction, including, but limited to, compliance with the University's procurement policies.
Signature Authority
Only the President and those delegated by the President have the authority to execute contracts for SJU. Anyone else executing a contract that purports to bind the university or its subunits is acting without authority and could be held personally liable for the breach of the contract or for the full value of the contract. For agreements, the following University officials have signature authority:
Delegation of Signature Authority
Only the President, the Vice President of Finance and Administration and Treasurer and the Provost and Vice President, Academic Affairs are authorized under this policy to delegate their signature authority. Except for the signatories expressly authorized under this policy, only employees who have a current written delegation from the President, the Vice President of Finance and Administration and Treasurer or the Provost and Vice President, Academic Affairs may sign contracts. Such delegated authority may be sub-delegated only up to 25% of the authorized signature amount. The person delegating signature authority to another is ultimately responsible for the delegated individual's actions.
Standard University Agreements
SJU's Office of General Counsel authored a set of agreements approved for use by all SJU departments.
These agreements cannot be modified without the prior approval from the Office of General Counsel.
The use of University approved templates is strongly encouraged to expedite the contract review process.