What is a power of attorney? Power of attorney
Power of Attorney : You may have read the word Power of Attorney somewhere or alone, but you don’t know enough about it,
Hello and welcome to this blog, today in this post we are going to give information about Power of Attorney document, what would be the power of attorney? Learn more about where and why Power of Attorney is used in this article.
So let’s get started and learn what a power of attorney is.
What is a power of attorney?
Power of Attorney. According to the Power of Attorney Act, 1882, a POA is a legal document by which a person declares another person as his legal representative. The declared representative is called the ‘agent’ and the announcer is called the ‘principal’.
Agents can make decisions on behalf of the principal in all its legal, financial and other matters. He may also sign the agreement on behalf of the principal, i.e. the announcer. These decisions are legally valid. Agents do not have to be lawyers by profession. However, the agent cannot go beyond the scope of the POA. If the principal is harmed by his decision, the agent will have to pay compensation.
Simply put, a power of attorney is a type of judicial power that authorizes another person to make legal or business decisions in exchange for the person who owns the property. A letter of attorney is a written permission to represent or act on behalf of another in a private business Is.
A power of attorney can be drawn to transfer ownership of your property. The use of POA in exchange for registration is commonly used in situations where the property owner has to avoid court proceedings due to illness or other reasons or is not able to make important decisions but is mentally competent.
It is also to be noted here that power of attorney can be given not only for assets but also for bank accounts, shares and mutual funds etc.
Types of Power of Attorney
- General power of attorney (GPA)
- Special power of attorney (SPA)
A person is given a special power of attorney (SPA) because he or she has been given a power of attorney for a particular job. You can do some of these things like finalizing a deal, etc., but through the General Power of Attorney, the agent can make decisions in many cases like selling property or selling any other thing like contract settlement.
What are registry and GPA?
First of all you need to know what are registry and GPA? GPA can be given for any work. It is also called power of attorney. GPA gives the right to operate bank accounts and lockers, the right to buy and sell property and all other government functions.
However, the GPA can be revoked at any time and after such cancellation a notice will be given to the person in whose name the GPA has been created. Also, people have to be told through the paper that the GPA has been canceled. There are also GPAs that are irrevocable, meaning they cannot be reversed. But in special cases such GPA can also be revoked. Similarly, there is a special power of attorney (SPA) that is created for a specific purpose. The term GPA is longer.
What is the term of power of attorney?
The power of attorney is valid after the death of the principal or agent. If, as a result of an accident, the principal is no longer in a position to sign the legal documents, the previous POA expires. In addition, principals may at any time cancel a previously made POA using a CANCELLATION deed. The SPA is considered void when the work is completed. The POA can be revoked at any time by mutual consent of both the parties. It is worth mentioning here Durable power of attorney.
What is Durable Power of Attorney?
Durable power of attorney is a durable POA. The principal should have clearly stated that even if I am disabled, the power of attorney will continue, it should not be validated. However, if the principal dies, his validity also comes to an end. But in some places, the Durable Power of Attorney is also called the Healthcare Power of Attorney. Under this, the agent has the power to make important decisions regarding the principal’s medical care.
Non-validity Non-durable POA is complete No decision can be made Agent can decide on behalf of the owner, but as soon as the durable POA is used a certain period of time.
Registration of Power of Attorney | Registration of Power of Attorney
Registration of General Power of Attorney is not mandatory. By the way, when it is registered, it should be given more importance. Especially when it comes to estate. In places where the Registration Act, 1908 is applicable, the deed is registered with the Sub-Registrar, in other places, the attestation is done by a notary or administrative officer. Must have two or more witnesses at the time of registration. After registration the principal is called executive and the recipient is called GPA / SPA holder.
How to make a power of attorney abroad
How to make power of attorney in foreign
The power of attorney can also be created and registered abroad to deal with property located in India. If the POA is registered outside India, these documents must be approved by the District Collector within three months of arrival in India. Suppose an NRI living in the US wants to sell his ancestral property but does not want to come to India. In that case, he could create a POA in the United States and notarize it.
In foreign countries this work can be done on plain paper and not on stamp paper but it needs to be notarized. In India, it can only be made on stamp paper. To operate a POA abroad, one has to go to a notary, Indian Council or a representative of the Central Government.
What did you learnt about Attorney?
In this post we have cover the what is a power of attorney ? Types of attorney
I hope that all this information given in this article about the Power of attorney is helpful to you.