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Discussions related to Real Estate matters, Real Estate laws, loans, financial queries

Power of Attorney valid for property registration?

Postby webmaster » Wed Aug 14, 2013 8:59 pm

Wanted to check with legal experts if a person having General/Special Power of Attorney be able to get the property registered on behalf of the owner in Faridabad/Haryana? If yes, what type of Power of Attorney is required, GPA/SPA?

If a property is registered through Power of Attorney, can the property be further sold/transferred to a new owner?
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Re: Power of Attorney valid for property registration?

Postby naveenarichwal » Wed Aug 14, 2013 9:55 pm

http://www.indiankanoon.org/doc/1565619/

The Supreme court order on SPECIAL LEAVE PETITION (C) NO.13917 OF 2009
Suraj Lamp & Industries Pvt. Ltd. .....Petitioner Vs.
State of Haryana & Anr. Makes is amply clear , please go through the order of The Honorable Court,.

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Re: Power of Attorney valid for property registration?

Postby naveenarichwal » Wed Aug 14, 2013 9:57 pm

The power of Attorney is not an instrument of transfer in regard to any right, title or interest in a immovable property. The power of attorney is a creation of agency whereby the Guarantor authorizes a guarantee to do the acts specific therein. Even an irrevocable Power of attorney does not have the effect of transferring title to the Guarantee.
In The “State of Rajasthan vs Nihata 2005(12) SCC 77 , the Honorable supreme Court of India has held that “A grant of Power of attorney is essentially governed by Chapter 10 of The Contract act. By reason of a deed of Power of attorney ,an agent is formally appointed to act for principle in one transaction or series of transaction or to manage the affair of principal generally conferring necessary authority upon another person. A Deed of Power of attorney is executed by the principal in favor of the agent. The agent derives the right to use his name and all acts, deed and things done by him and subjected to the limitations contained in the said deed ,the same shall be read as if done by the donor..A power of attorney in terms of provision of the Contract Act and also the Power of attorney Act is valid. The power Of Attorney, we have noticed herein before , is executed by the donor so as to enable the done to act on his behalf. Except in cases where the Power of Attorney is coupled with interest, it is revocable. The done in exercise of his power under such Power of attorney only acts in place of the donor subject to the powers granted to him by reason thereof .He cannot use the power of Attorney for his own benefit He acts in a fiduciary capacity. Any act of infidelity or breach of trust is a matter between the donor and done“
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Re: Power of Attorney valid for property registration?

Postby naveenarichwal » Wed Aug 14, 2013 10:29 pm

In Haryana, their is Haryana development and Regulation of Urban Areas act 1975 via its Section 7 clearly states that

Section 7 of Haryana development and Regulation of Urban Areas act 1975. i.e Prohibition to advertise and transfer plots —Save as provided in section 9, no person including a property dealer shall,

(i) without obtaining a license under section 3, transfer or agree to transfer in any manner plots in a colony or make an advertisement or receive any amount in respect thereof;

(ii) erect or re-erect any building in any colony in respect of which a license under section 3, has not been granted.

(iii) erect or re-erect any building other than for purposes of agriculture on the land sub-divided for agriculture as defined in clause (aa) of section 2 of this Act.
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Re: Power of Attorney valid for property registration?

Postby naveenarichwal » Thu Aug 15, 2013 12:09 am

In Hayana By Virtue of Haryana development & regulation of Urban areas act 1975, no builder/Colonizer can Construct, market,sell or style a GH project as its own without obtaining a License from DTCP ,Haryana,.

The builder like Era, in Era Divine court, and now in case of RPS Auria are constructing, marketing ,selling and have styled the GH as their own, and show the Power of attorney agreement which they have signed with the Licensee.
This leads to Violation of The section 7 of the said act.
Also the licensee at the time of issuing of License, enters into a agreement with the DGTCP which is called LC 4 or 4A in which Licensee gives in writing that he will not create third party rights on the Licensed land.

Despite of Clear cut guidelines in a specific Act i.e. Haryana development & regulation of Urban areas act 1975, this practice of non-licensee constructing, marketing ,selling and styling a GH project in Haryana as its own is rampant. A Non Licensee has no right to collect EDC ,but openly it is being done in Haryana.
This activity which a non-licensee does in conspiracy with the licensee is a criminal act of Cheating and breach of trust,
and should be prosected under sections 420, 120 B ,406, 467.
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Special Power of Attorney Registration Requirements

Postby satinder27 » Wed Feb 05, 2014 8:19 pm

Hi Everyone,

First of all my apologies if I am posting it in the wrong forum.

I live outside Delhi NCR and have to assign Special Power of Attorney to my Mother who lives in Punjab for completing the Possession formalities with BPTP. I wanted to check if I have to get the SPOA registered in Faridabad? Can I get it registered in Chandigarh or even Punjab?

The other thing I wanted to know is around the documents required for the registration and number of copies required for each supporting document.

Appreciate any help on this matter.

Thanks
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