Prajesh (AST) 05 April 2013

Gift deed on power of attorney

Hi Sir,

I was planning to buy a property and on looking at the titles so far, below is what I have question in.

1. In 2009, Property was bought by Mr X from Mr A through a sale deed

2.In 2009, Mr X gives a registered power of attorney to Mr X's Father

3. In 2010, Mr X's Father has executed a Gift Deed( Dhana Aadharam in Malayalam) to Mr X's Mother paying 2% stamp duty

Now Mr X's mother is selling the property as a right full owner.

Is there anything to worry in the above transaction? Both Mr X and Mr X's Father is abroad and Mr X mother has come here to sell this property.

What all things I should ensure if I have to buy this property?

Thanks,PVP

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3 Replies

sridhar pasumarthy (ADVOCATE) 05 April 2013

Dear Prajesh,

Ensure that the power of attorney authorises the father of Mr.X to execute gift deed in favour of mother.

Also ensure whether the power of attorney was in existence or revorked by the date of execution of gift deed.

If both are satisfied your can enter into sale transaction.

Anyhow, as a precautionary measure, consult a lawyer with copies of the documents before entering into any transaction.

Neha Chowdhary (Law Officer ) 05 April 2013

Agreed with Sridhar sir's opinion.....u can make a Due Diligenc Report on the documents available.....and check said POA is revokable or irrevokable....

Due Diligence report will serve ur entire purpose...get it done from local lawyer....

Prajesh (AST) 06 April 2013

Thank you All. As you have suggested consulted a lawyer and he was fne wth all the deatils. Seeing my anxiety, he suggested to get a valid NOC from Mr X who is currently residing in Canada. But I missed to ask how to get the same. Can any one suggest me a legally valid way of getting a NOC for Mr X ?