What is a Power of Attorney and Why Do You Need It?
There is a lot of use for a Power of Attorney. It is handy when it comes to having someone else do tasks for you when you are incapable of doing them for the time being.
Essentially, one needs to have knowledge of what a Power of Attorney is all about. In the event that you are not comfortable or confident in handling this kind of mater, there are always legal drafting services in UAE available for you to obtain.
What is a Power of Attorney?
Simply, a power of attorney is a notarized written authority document given by someone (principal) to another person (agent) that gives the latter the power to act on behalf of the former with regard to legal matters. It is of uttermost importance though that the principal giving the power of attorney is over 21 years of age and has a sound mind.
What Does a Power of Attorney Cover?
This is basically used when a principal needs an agent to act on their behalf to handle legal, financial, or property transactions when the principal is currently not available or being out of the country. In the event that a principal needs an agent because they are incapable of making decisions (being unconscious, mentally incompetent, physically unable, etc.), the court may get themselves involved by ordering a legal Guardianship or Conservatorship for the principal who needs representation.
General VS Special VS Lasting Power of Attorney
1. General Power of Attorney
An agent has the power to manage the things that need to be dealt with on a principal’s behalf when the agent has a General Power of Attorney. This is for only a period of time when the principal is out of the country or his physical or mental health is compromised.
True to its name, a General Power of Attorney has a broad list of things that give an agent a range of powers and responsibilities that are (but not limited) typically the following:
- Managing of bank matters and other transactions like Power of Attorney joint bank account
- Filing of tax returns
- Buying, selling or managing real estate and other properties
- Entering into contracts
- Settling claims
An agent is given an authority to handle a specific affair/s of a principal with a Special Power of Attorney Dubai hand. It is of vital importance to clearly specify the acts that you wish for your agent to perform on your behalf since the Special Power of Attorney is limited to those certain acts written in the document only.
A Special Power of Attorney can be used by an executor to give powers to an agent on the former’s behalf when the principal would fall ill, be disabled, out for travel, or simply unable to manage a certain task.
3. Lasting Power of Attorney
The lasting power of attorney was created under the Mental Capacity Act of 2005 under the English law, which governs England and Wales and implemented in 2007. It replaced the enduring power of attorney.
Basically, it covers the people who can see in the future that they won’t be able to be physically or mentally capable of doing their own personal, financial, or business affairs. It is used to make arrangements for them to appoint members of their family or even friends to make decisions on behalf of them.
In UAE, however, there is no law with regard to the lasting power of attorney.
How to Prepare a Power of Attorney in UAE?
The documents needed for power of attorney drafting must all be prepared. Different Power of Attorneys may have individual or additional requirements. For instance, a Power of Attorney that is used for selling a property needs an additional document that is the original title deed. However, firms that offer legal drafting services in UAE can guide you through the procedures that need to be done.
The Power of Attorney itself can be completed by a typing centre, and the document should be both in Arabic and English. The stamping and attestation will then be prepared in the Dubai Courts.
Power of Attorney that is Executed Outside UAE
When a Power of Attorney is executed in another country but will be used in the UAE, the following must be done:
- The document needs to be signed in front of the notary/magistrate/solicitor in the said country
- The document needs to be attested in the foreign office of that country
- The document needs to be legalized by the UAE Embassy in that country
- The document needs to be translated into Arabic in the UAE
- The document needs to be attested by the Foreign Office in the UAE
- Lastly, the document needs to be legalized by the UAE’s Ministry of Justice
At any point in time, the principal or executor can cancel the power of attorney Dubai that he has given whenever he deems necessary. The power of attorney given to an agent will be cancelled at the death of the executor since the UAE has no law regarding lasting power of attorney. Also, if the Power of Attorney is made for a certain time frame only, it will automatically expire when the period comes.
Also, find more info: Defending against abuse of Power of Attorney
Top Legal Drafting Services in UAE for POA
HHS Lawyers and Legal Consultants provide legal drafting services in Dubai and in other Emirates. our Lawyers in Dubai can help you prepare the needed documents and guide you through all procedures.
You can book a free consultation today for any legal matters.