A real estate power of attorney in the UAE authorizes the attorney to buy and sell real estate on behalf of the principal. Property-related disputes, whether they are legal or financial, can be settled by the designated individual. Unfortunately, there are a number of false beliefs about POA in the United Arab Emirates (UAE) that cause misunderstandings and confusion. In the United Arab Emirates, a real estate power of attorney has specific limitations. POA is revocable and does not permit full transfer of ownership. POAs must be registered properly and in accordance with legal requirements. To guarantee that a real estate POA in Dubai is used properly and effectively, it is recommended that you acquire essential guidance and understand the legal ramifications.
Misconceptions About Power of Attorney For Property
Following are the misconceptions regarding power of attorney for property:
Rights of Principal are Forfeited After Signing a Power of Attorney in The UAE
The principal is the person who authorizes another person or entity to act on his behalf. The agent or attorney is the person/entity who has the authority legally granted by the principal under a POA. The scope of powers granted under a POA may be narrow or broad, depending on the preferences and requirements of both parties. In case the principal decides to grant exclusive access to the powers in case of sickness or migration, he can transfer the powers of his will to the attorney. The rights of the principal will not be relinquished in the event that the principal fails to grant full access. In case of sickness, the Court requires an official statement from the doctor before declaring the incompetence of the principal.
Only Senior Citizens Require Powers of Attorney in The UAE.
Real estate POA in Dubai can be granted in case of medical emergencies, migration, family conflicts, providing financial security in case of incompetency, conservatorship, accidents, or more. This is because unforeseen illnesses and accidents may strike at any time and any age. Also, matters relating to property can come with their own complications and must be sorted in the given timeframe without delays. Hence, the POA can be made at any age (after 21 years) and at any time.
POA Can Be Created When the Principal is Lacking Mental Capacity.
Real Estate power of attorney is only valid if the person providing rights or powers in the United Arab Emirates is mentally capable of carrying out the terms of the document in order for it to be enforceable. A POA is only valid in such circumstances if it is signed prior to the occurrence.
Healthcare and Property POA Requires Similar Documents.
This is a common misconception. A Property power of attorney is frequently deployed when making judgments and taking actions pertaining to properties and assets. The POA will possess the description of the individual who will make decisions regarding the finances and business of the principal. Whereas a Healthcare POA requires a medical certificate, a doctor’s letter is required to create a medical POA.
A Property Power of Attorney is Irrevocable in the UAE
Another common deception is that a POA in the UAE is irrevocable once granted. In the UAE, a POA can be revoked at any time after it is granted by the principal, as long as they have the mental capacity to do so. Revoking a power of attorney generally requires written notice to the person holding the POA, and it is crucial to follow the legal requirements for revocation to ensure its validity.
Real Estate POA in Dubai is Equivalent to Ownership
Granting a POA is not equivalent to a transfer of ownership of assets to the attorney. A POA only grants authority to act on behalf of the principal, but it does not transfer ownership. The person granting the POA remains the legal owner of the property or assets if there is no execution of a separate legal transfer of ownership.
Make Real Estate Power of Attorney Legal
You can make a real estate power of attorney legal with the signature and valid IDs of all the concerned parties in the midst of public notary. Real Estate POA in Dubai can be used abroad if it is signed in front of the notary public. Following the legal process, the POA should be attested by the foreign ministry office before being sent to the UAE embassy. It’ll then be carried to a UAE embassy in the jurisdiction. The document will be translated into Arabic before it is executed. After the verification process the POA will get legalized.