LCI Learning

Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Rahul Gupta   14 May 2023

Is a registered POA valid after death of the owner if the agent had interest in the said property and had acted upon using the POA?

Is POA valid under section 202 or other sections if the owner dies but the agent has rights to sell the property, including using it, as well as had paid compensation against the POA?


Learning

 6 Replies

Advocate Bhartesh goyal (advocate)     14 May 2023

The power Of Attorney  is only valid as long as the principal is alive.Validity of POA after the death of principal  automatically terminated.The actions done by the attorney holder after death of principal, he/she shall be  responsible. 

Sidhhi   14 May 2023

Yes. PoA is valid during life time of issuer only and can be revoked any time unless a person without thinking of consequences gives Irrevocable Power of Attorney.

Dr J C Vashista (Advocate)     14 May 2023

PoA is valid during the pleasure / life time of executant (principal) irrespective of its terms and conditions. .

kavksatyanarayana (subregistrar/supdt.(retired))     14 May 2023

Yes. Agreed with the same.

T. Kalaiselvan, Advocate (Advocate)     15 May 2023

Section 202 of the Indian Contract, 1872 provides that where the agent has himself, an interest in the property which forms the subject matter of the agency, the agency cannot, in the absence of an express contract, be terminated to the prejudice of such interest.

Irrevocable power of attorney creating an agency, wherein the agent has an interest in the property and which forms the subject matter of such agency created for valuable consideration, the agency cannot be terminated to the prejudice of such interest, unless there is an express contract to the contrary, nor can it be terminated by death of principal.

A POA deed coupled with interst/consideration cannot be revoked even after the death of the Principal, at least to the extent of the consideration/interest to the power agent.

1 Like

Niharika Lohan   17 May 2023

Hi Rahul Gupta.  I’m Adv. Niharika and this is my take on your query.

It depends upon the terms and conditions laid in the POA.

  • In case of irrevocable power of attorney, the power of the agent can not be revoked till the duration of the date, except for rare circumstances. The duration for irrevocable power of attorney is mostly for a lifetime. In this case, also POA is not valid after death. If the word irrevocable has not been used in POA, then it is considered to be of revocable nature. An irrevocable power of attorney in India expires upon the agent’s passing. A power of attorney that is irreversible cannot be cancelled by the grantor after it has been signed, with the exception of a few conditions laid out in the document or by applicable legislation. However, the grantor must name a new agent to act on their behalf if they intend to continue appointing someone to act on their behalf after the agent’s death because the power of attorney immediately expires at that point.
  • In the case of revocable power of attorney, the document is not valid after the death of a person, Who has given the authority to act on his behalf. A power of attorney is said to be revocable if the principal has the right to revoke power at any point in time. In this case Power of attorney is not valid after death. unless the POA has designated someone else to take over in the event of the agent’s death, incapacitation, or resignation, the POA is also terminated or is deemed invalid. Also if consideration has been paid, then the power of attorney will be binding on legal heirs of deceased principal.

I hope you find the information useful and for further query you can contact me at niharikalohan@yahoo.com


Leave a reply

Your are not logged in . Please login to post replies

Click here to Login / Register