POWER OF ATTORNEY EXPLAINED
There are always 2 persons involved in a Power of Attorney, namely the agent and the principal.
The agent is given legal permission by the principal to make decisions and to take action on the principal’s behalf.
The agent may then, for example, buy or sell the property and/or enter into contracts on behalf of the principal.
There are 2 types of Powers of Attorney. A general power of attorney gives the agent the authority to do certain acts as set out in the Power of Attorney and usually only terminates when the principal passes away, becomes insolvent, or becomes mentally incapacitated at which point a curator ad litem must be appointed by a court. A special power of attorney grants the agent the authority to perform a specified action on behalf of the principal and once this action has been performed, the Special Power of Attorney expires.
So, what are the legal requirements for a Power of Attorney?
1. It must be in writing;
2. Both parties must be clearly identified;
3. The scope of the powers granted must be specified;
4. The Power of Attorney is signed by 2 witnesses;
5. If the Power of Attorney is not signed in the RSA, it must be signed before a Notary Public and authenticated to be used in the country.
It must also be mentioned that where an agent must transact in respect of immovable property, the Power of Attorney must be registered in the Deeds Office.
A principal may cancel the Power of Attorney anytime.
Call Du Pre Le Roux Attorney today to draft all your legal documents.
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