A Power of Attorney (POA) is a legal document that grants authority to one person to act on behalf of another. Uniquely, this allows the designated individual (Attorney), to perform various actions, make decisions, and manage affairs for the Principal. Essentially, a POA is a way to ensure that someone you trust can take care of your needs when you cannot do so yourself.
Types of Power of Attorney
There are two primary types of Powers of Attorney. Namely, the General Power of Attorney and Specia Power of Attorney. In particular, understanding these distinctions is crucial when establishing a Power of Attorney that fits your needs.
General Power of Attorney
This type permits the Attorney to act on the Principal’s behalf in all matters connected with their affairs. To emphasize, it offers broad powers that one can use for a range of situations.
Special Power of Attorney
In contrast, a Special POA grants authority for specific matters or events. Chiefly, this limited scope ensures that the Attorney’s powers are confined to particular tasks as the Principal defines.
Applicable Law
The Powers of Attorney in Sri Lanka are governed by the Powers of Attorney Ordinance No. 04 of 1902 (Chapter 122) as amended. In detail, this legislation outlines the requirements and formalities needed to create a valid POA.
Execution and Registration of POA in Sri Lanka
Execution Formalities
To create a valid POA in Sri Lanka, one must execute the document before two witnesses. Additionally, a Notary Public must attest it. Specifically, if the POA is related to property transactions, additional requirements include:
- It must be duly attested according to the Notaries Ordinance and the Prevention of Frauds Ordinance.
- The document must include a description of the land or property, including metes and bounds.
- It should contain a prior registration of the land or condominium parcel.
- Importantly, the Principal must provide a thumb impression in the presence of the Notary Public.
Registration Formalities
You need to register the POA with the Registrar General’s Department (RGD) within one month after executing it. To complete the process, the POA must include an Affidavit from the Attorney. Moreover, submit certified copies of identities for both parties.
Additional Notes,
In situations where the Attorney lives overseas, provide an Affidavit executed according to local laws. However, it is essential to include a local address in the POA and Affidavit. Additionally, self-certified copies of identification documents are necessary.
POA Executed Outside Sri Lanka
Follow specific formalities when executing a Power of Attorney outside Sri Lanka. In particular, execute the POA before an Ambassador, High Commissioner, or a Consular Officer. To clarify, for property-related transactions, similar requirements apply as outlined above for local POAs.
Registration Formalities
The registered POA must be filed with the RGD within three months from the date of attestation. Notably, the required accompanying documents are similar to those needed for a domestic POA.
Read the Powers of Attorney Ordinance No. 04 of 1902 (Chapter 122) amendment here
Visit the Registrar General’s Department (RGD) here
Conclusion
The Power of Attorney is a powerful tool for managing personal and financial affairs. In hindsight, understanding the different types of POA and the specific requirements for execution and registration is crucial. Ultimately, a POA ensures your legal rights are protected. Regardless, planning for the future or addressing current needs, having a Power of Attorney can provide peace of mind. Why? Because your affairs are in capable hands.