Backdating is the practice of marking a document whether a check contract or other legally binding document with a date that is prior to what it should be backdating is usually disallowed and even can be illegal or fraudulent based on the situation.
On the other hand if the backdating is intended to fabricate documents to support a transaction that never occurred in particular to gain a tax advantage for a client thats almost always a sign of fraud experts say.
Needless to say even these methods of backdating a document should not be used when there was no earlier agreement and the document is just an attempt to give a false impression that something occurred on an earlier date than it did.
Whether backdating a document is appropriate depends on the backdatings purpose and effect backdating to perpetrate a fraud is obviously unethical and illegal however backdating to memorialize a prior act or event is a legitimate and necessary practice.
Span classnews_dtmar 06 2009spannbsp018332backdating its illegal isnt it march 6 2009 february 24 2010 generalconsole backdating nda lawyers who were trained in commonwealth jurisdictions may have an ingrained concept that backdating a document is generally improper if not illegal.
06 apr 2016 one of the thornier issues which comes up in legal practice from time to time is the backdating of documents legally speaking this is something that you should not do or more accurately there will only ever rarely be occasions when this is appropriate to do.
Span classnews_dtfeb 09 2016spannbsp018332one of the thornier issues which comes up in legal practice from time to time is the back dating of documents legally speaking this is something that you should not do or more accurately there will only ever rarely be occasions when this is appropriate to do.
But backdating should be avoided such a misrepresentation would be uncovered and undone by an examination of when the parties instructed their solicitors and other means such as computer records of when the documents were created.
Options backdating is the practice of altering the date a stock option was granted to a usually earlier but sometimes later date at which the underlying stock price was lower this is a way of repricing options to make them valuable or more valuable when the option strike price the fixed price at which the owner of the option can purchase stock is.