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General Information on Business in Japan

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I heard that in Japan, seals are used instead of signatures. But, I think it is easy to counterfeit a seal. How does it work?

It is just as you say. In Japan, seals are more widely used than signatures as evidence of indication of intent, and there is a seal registration system for the prevention of counterfeiting of seals. While people in Japan use unregistered seals in everyday life when receiving a package for example, they use a special registered seal when an individual applies for a mortgage or when a corporation concludes an important contract, for example.

Seal registration for individuals is handled at the local municipal government while the registration of a corporate representative’s seal is handled at the legal affairs bureau with jurisdiction over where the company is located. When a corporation leases an office or takes out a bank loan, it is required to use both its representative’s registered seal and its certificate of a seal-impression (certificate issued by the municipal government on which a seal impression is printed).

As they are essential when you conclude an important contract, it is advisable to create them as early as possible after you start your business in Japan.


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