What a power of attorney can and cannot do

A power of attorney lets somebody act in your name. It is the most useful instrument available to an overseas owner, and the most dangerous.

It can

• Sell, buy, transfer, gift or mortgage property — if it says so explicitly
• Appear before a sub-registrar or society transfer office on your behalf
• Collect rent, pay taxes, manage tenants and maintain the property
• File, defend or compromise a case concerning the property
• Apply for building approval, utilities and possession

It cannot

• Do anything the document does not specifically authorise
• Survive your death — it ends the moment the principal dies, and any act afterwards is void
• Survive revocation, once revocation is properly recorded
• Give the attorney ownership. He acts for you; he does not become you

THE RULE THAT DECIDES EVERYTHING An attorney can do only what the document lets him do. A power that says "manage my property" does not permit sale. A power that says "do all acts necessary" probably does. Vague drafting is the whole problem. Precise drafting is the whole protection.