When it comes to custody assets, a written agreement is necessary to ensure proper storage and protection of these assets. But who exactly approves this written agreement?
Typically, the approval of a written agreement authorizing storage of custody assets falls on several parties involved in the custody process. These parties include the custodian, the client, and legal counsel.
The custodian is the entity responsible for holding and safeguarding the custody assets. They are the ones that will be physically storing the assets and ensuring they are properly secured. As such, the custodian must approve the written agreement to ensure they can effectively meet their responsibilities.
The client is the owner of the custody assets and must also approve the written agreement. They need to understand the terms and conditions outlined in the agreement and agree to them before the custody assets can be stored.
Finally, legal counsel may need to approve the written agreement to ensure it is legally sound. This is particularly important if the custody assets are subject to regulatory requirements or if the agreement includes any complex legal language.
Ultimately, the approval of the written agreement authorizing storage of custody assets is a collaborative effort between the custodian, the client, and legal counsel. All parties must review and agree to the terms outlined in the agreement to ensure the safe and secure storage of custody assets.