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VV1 (a)     21 November 2012

Validity of gpa

A GPA was executed by 5 Members of a a family in the name of the Youngest brother in 1980. Two of the executors expired in 1990,1991. A sale deed was executed using the GPA in 1992.  There is a line in the GPA that, "This  Power of Attorney shall be in force until  it is revoked in writing"

NOw someone is objecting that the sale is invalid because two of the executors were dead when the sale happened. Someothers say since majority of  the executors were alive it is still valid.
 

Please clarify if this sale deed is valid or not.



 4 Replies

MohammedRaffiq Bijapur (Advocate)     21 November 2012

the sale deed is invalid for the simple reason that as on the date of sale deed the executants have dead, the GPA has no validity.

swaroop (advocate)     21 November 2012

There were 5 Members in the family. All had interest/share in the property.
A sale deed was effected after two of the GPA executers died.

Thus;

1. the sale deed is invalid to the extent of "share" of those brothers died before "sale deed" because the Power of Attorney is a contract of agency which is revoked upon death of the principal. (except: interested agent (S.202 of Contract Act) )

2. the sale Deed is valid and can be enforced to the extent against the share of those brothers who were alive at the time of said Sale Deed.

PS: such question can not be decided on majority basis.

Jai Karan Nagwan (consultant)     22 November 2012

If proper stamp duty is not paid on the GPA and that is not registered, no sale can take place. In such case GPA holder can only present the document for registeraion, not as a seller.

On the other hand, if GPA is stamped with proper duty, irespective of the death of some executant sale will be valid and enfoceable, on the contrary sale is null and void as a whole. 

VV1 (a)     22 November 2012

Thanks for your reply sir.

 The GPA is a registered in a Stamp paper document in the sub registrar office with Num xxx of year xx contains xx pages.

  Please also clarify the significance of the words"This  Power of Attorney shall be in force until  it is revoked in writing". 

 Does it mean one of the 5 executants should revoke it or anyone can revoke it.

The document mentions that the executants are a joint family including the person it was given to (the youngest brother).


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