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Kapil Tiwari (export executive)     11 December 2012

Special power of attorney for giving flat on leave & license

My aunt, aged 82 years, owns a flat in Mumbai and proposes to give the same on Leave and License(Rent). She is old and infirm and hence wishes to grant a special power of attorney to her daughter(who also resides in Mumbai).

The scope of the power of attorney would be:

1) to negotiate and finalise leave and license agreements,
2) to appear before the sub-registrar for registration of the leave and license agreements,
3) to receive security deposit and monthly rents and deposit the same in my aunt's bank accounts,
4) to represent my aunt before the housing co-operative society and sign all relevant documents relating to the leave and license.

My query is:
a) Whether such a power of attorney must necessarily be registered, if in Mumbai?
b) What would be the stamp duty applicable, in percentage terms, if the agreement is executed in Maharashtra?
c) Is a "notarised" power of attorney valid and acceptable in a court of law?
d) What do you advise as the most appropriate course of action?

Thanks in advance for your valuable feedback and advice.

Regards/Kapil 



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 3 Replies

Kishor Mehta (CEO)     11 December 2012

Sir,

In Mumbai the ownership flat can be given on Leave & License on the strength of a Special Power of Attorney, covering all the necessary terms, conditions and covenants, the POA has to be on a Rs.100/- stamp paper and duly notarised.

This POA has then to be sent for adjudication to the Collector of Stamps, Mumbai.

The Deed of Leave & License has to be registered, the stamp duty and registration charges depend on the amount of deposit/advance and yearly rent receivable.

The notarised POA is admissible in the Courts of Law, the Deed of Leave & License will be admissible only if it is registered according to the Law.

Regards,

Kishor Mehta

Kapil Tiwari (export executive)     11 December 2012

Mr. Kishor Mehta, Sir, should the Power of Attorney be registered with the Sub-Registrar after notarisation? Kindly advise.

Regards/Kapil

Kishor Mehta (CEO)     11 December 2012

Sir,

The Power of Attorney has to be sent to the Collector of Stamps, Mumbai for Adjudication, it has not to be registered with the Registrar.

Regards,

Kishor Mehta

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