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Siddarth Barbaruah (Manager)     23 April 2015

General power of attorney

In a company a General Power of Attorney (GPA) for signing of court papers, tenders and other documents on behalf of the Company is given to specific Officers on request by the Executive Director of the Company who in turns gets it from one of the Board Directors of the Company to whom is given by the Board of Directors after a resolution is passed in that regard.  Now my queries are :-

1. Does the GPA issued to the Officer remains valid on retirement of the Executive Director or the Director of the Company ? Further, there is no such clause in the GPA with regard to revocation of the General  Power of Attorney. 

2. If yes, does it mean that every time the GPA holder retires, the GPA dies a natural death and the Officer has to get a new one issued every time. ? or,

3. Will the concept of Durable Power of Attorney apply ?

Please enlighten.



Learning

 3 Replies

Utsav Ghosh (Advocate)     23 April 2015

As per the query raised the GPA is valid till the time the executor of the attorney is alive. If it is executed in the name of the Company it is still known to be active as the Company is regarded as artificial legal person. 

The GPA remains active on retirement of Director as it is executed by the Company by passing resolution in the name of the Company. The GPA can only be revoked by passing the same in resolution any not then before. 

As per the 2nd question it need not be executed several no. of time as it is the Company who has authorised you for signing Court papers not the Directors in their individual capacity. The death,retirement of the Director shall not revoke or alter the POA. It can only be revoked by resolution passed in the Company's AGM or SGBM and or be fifling a registered Deed of Cancellation /Revocation between you and the Company.

Regartds,

1 Like

Siddarth Barbaruah (Manager)     24 April 2015

Thank you Sir.

satya (Manager)     24 April 2015

The obligation as husband and wife may be allowed to others through power of attorney?


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