What is a POA transaction?
What is a POA transaction?
A Power of Attorney (POA) is a document in which a principal party appoints a fiduciary party to act on behalf of the principal party, typically in regard to legal affairs. Sometimes, however, providing a POA for closing a real estate transaction is easier said than done.
Can power of attorney be transferred to another person in India?
Actually the power given by Power of Attorney can not be delegated upon another person unless there is express provision in the original POA that the attorney holder shall be able to appoint another attorney by virtue of this POA.
What is the validity of POA in India?
Durable PoA: A durable POA remains effective for a lifetime, unless it is explicitly cancelled. A specific clause can be inserted in the document, stating that the representative’s power would remain valid even if the principal becomes incapacitated.
Can POA be used to sell property in India?
When it comes to buying or selling a property Power of Attorney is not a valid instrument to transfer property titles. However, selling the property through General Power of Attorney had become common practice across Indian cities, owing to the monetary benefits it offered, both the buyer and the seller.
What does POA mean in banking?
What Is a Financial Power Of Attorney? A financial power of attorney (POA) is a legal document that grants a trusted agent the authority to act on behalf of the principal-agent in financial matters. The former is also referred to as the attorney-in-fact while the principal-agent is the person who grants the authority.
Can a power of attorney be transferred to someone else?
A power of attorney (POA) is a legal document that allows you to appoint someone to act on your behalf, usually in financial or medical situations. An agent can never transfer their authority to another person unless the POA explicitly permits it.
How long is POA valid for?
Once the power of attorney is invoked, it usually is irrevocable unless the principal regains their capacity to make decisions for themselves and can revoke the power of attorney; otherwise it does not expire until the principal’s death.
Is notarised power of attorney valid?
Notarising a power of attorney is as good as registration . Section 85 of the Indian Evidence Act applies to the documents authenticated by a notary.
Can a POA transfer property?
“A PoA is not an instrument of transfer in regard to any right, title or interest in an immovable property,” a three-judge bench, headed by justice RV Raveendran, said, adding that property can legally be transferred only through a registered sale deed.
Can a PoA be used as an instrument of transfer?
“A POA is not an instrument of transfer in regard to any right, title or interest in an immovable property,” the bench said, after interpreting various provisions of the law concerning property sales. However, the bench said the judgment would not affect “genuine transactions” under the GPA.
When does a PoA need to be stamped in India?
Such a POA is not required to be stamped at the time of execution. However, it needs to be stamped within 3 months from the date of receipt of the POA in India. Stamp duty would be payable according to Section 2 (17) read with Schedule-I of the Indian Stamp Act, 1899, when the document is presented for registration in India.
When to use power of attorney in India?
Power of Attorney is given from USA for India by NRIs or even immigrants to easily delegate their state of affairs on any reliable person. It can also be done to discharge their responsibilities under the official purview of the State. Hence, a Power of Attorney should be considered when planning for long-term concerns.
Can a PoA be registered in Indian Registration Act?
They noted that a proper due diligence of ownership of properties was possible only if all property were transferred through registered sale deeds. The Indian Registration Act does not make a POA compulsorily registerable. However, the POA granted to sell immovable properties should be registered.