Can clauses of POA be imbedded in agreement?

Querist : Anonymous (Querist) 28 December 2010 This query is : Resolved
I would request the learned experts to kindly opine.
4 Nos.land owners gave POA to the Developer to construct & sale flats with out any allocation.They will take money for the land after the flats are build & sold by the Developer. There is only one POA signed by all 4 land owners. That POA is made on Rs.50/- stamp paper & is notarised not registered. Now the Developer feels that the POA is a tricky thing & it can be revoked also later on by some or all the land owners. So he wants to put the main clauses of the POA in the Development Agreement itself so that it can not be revoked. My question is
(1) Is it legal/correct to have one POA signed by all the 4 land owners? or 4 seperate POAs are required?
(2) Is it legal/correct to notarise the POA which is also for selling the flats to be constructed?
(3) For registration of POA for constructing & selling flats on a piece of land costing Rs.20 Lakhs, how much duty is to be paid in W.Bengal?
(4) Can the POA or POAs be revoked by the exutants later on as per their will? If yes what is the remedy? Lastly,
(5) Can the Developer imbed the clauses of the POA in the Development agreement so that it serves the purpose of the POA also which can not be revoked?

Thanks to all the experts for the wonderfull services they are rendering.

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Devajyoti Barman (Expert) 28 December 2010
1. The developer is right. There is no illegality in it.Rather it is the practice.
2.No,it is to be registered.
3. Drafting of POA is one of the most delicate thing iin West Bengal as if there is a hint of development of property then the registrar would fix the stamp duty on the value of the property at the rate of 6% plus 1.1% as reistration fees. So we draft it such a fashion that only Rs 50 is paid.
4. Yes but the revocation would not be effective on the developer.
5. Yes

Querist : Anonymous (Querist) 29 December 2010
Thank you sir. But if the Developer makes the vendors mention in the POA that this POA is irrevokable, to be in the safer side, will it be of any use later on i.e. will this forbid the vendors from withdrawing or revoking the powers of the Attorney? If the POA is revoked halfway the building is constructed, what should the POA holder cum Developer do.What is the remedy & what are the safe guards?

Devajyoti Barman (Expert) 29 December 2010
This type of POA even if revoked by the owner can npt be effectes as the deveoper is not a mere agent but a member in the part of the joint deal as well. Without knowing all the requirements of the parties ,it would not be proper to make any comment on the isssues of safeguard.

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