What is a Power of Attorney (POA)?

What is a Power of Attorney (POA)?

What is a Power of Attorney (POA)?

A Power of Attorney (POA) or Letter of Attorney is a written authorization to represent or act on another’s behalf in private affairs, business, or some other legal matter, sometimes against the wishes of the other. The person authorizing the other to act is known as the Principal, Grantor, or Donor (of the power)

A Power of Attorney is not an instrument of transfer in regard to any right, title or interest in an immovable property.

A Power of Attorney, or Letter of Attorney, is a document that authorizes another person known as the Agent or Attorney-In-Fact, usually a legally competent relative or close friend over 18 years old to handle any combination of financial, legal and health care decisions. A Power of Attorney is also referred to as a POA.

Generally, one chooses a POA as a provision if he or she becomes incapacitated.

*Types of Power of Attorney

Power of Attorney (POA) is an instrument that is used by people to confer authority on somebody else to legally act on their behalf. POA are of two types. –

Special Power of Attorney (SPA): While an SPA is used for transfer of a specific right to the person on whom it is conferred.
General Power of Attorney (GPA): The GPA authorizes the holder to do whatever is necessary.
There is no sale clause of immovable property mentioned in POA (Notarized). Registered POA from registration office allows sale clause and POA to anyone.

Below mentioned are the essential things to be considered while executing the POA:

Customer prepares POA as per defined format.
Person, who executes requires to paste his/her photograph along with signature on each page.
Authentic/ Adjudicate the POA from Indian Embassy or Local Authority.
Send authenticated/ Adjudicated POA in India.
In India, the POA holder has to paste his/her photograph along with his/her left-hand thumb impression and signature.
This document must be stamped for Rs. 500 (ESBTR, Franking, and Stamp Paper) and notarized from a registered notary. Ensure that a stamp of “before me” is affixed on the document.
POA holder and executants photo ID attach before notary.