1) it is mandatory to register POA
2) you cannot sell the property on basis of notarised POA
3) amicable settlement is best option
Sale of SRA property
We have purchased SRA property in 2003 from one lady in andheri, mumbai. POA was executed and notterized but was not registered. now at time of selling that house we came to know that signature of that lady will be required as her name is there in annexure 2 if builder..she is demanding 10 lacs for signature and sale value of house is mere 40 lacs so giving her 10 lacs is not worth..what is the alternate remedy? can we proceed to sale on basis of unregistered POA.
Asked 6 years ago in Property Law
Religion: Hindu
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7 Answers
It is not possible to sell the property on the basis of notarized POA, registration of the same is mandatory.
Alternatively the matter can be settled mutually among yourself, which happens to be the best way.
Regards
but before amendment to registration act registration of POA was optional as per my knowledge then to notarized POA is invalid?
Asked 6 years ago
It is true that in 2003 registration of POA was optional
2) however after April 2013 registration is mandatory
3) hence you cannot sell the flat at present by notarised POA
Please try and understand, if she is asking for 10 Lakh as against her signature then she has all the right to challenge the sale deed (if done by you) saying that the said POA is forged and fabricated.
I would not advise you to sell the same on the basis of POA, the unregistered POA can be challenged easily and effectively.
Also, The Supreme Court has ruled that property sales through the general power of attorney will not be valid and will not give ownership title to the other person.
Regards
Dear sir,
It is not mentioned in your question that in Poa
1) whether alienating rights were given to you or not ?
2) whether possession was given to you or not ?
3) SRA property Can not be transferred till 15 years from date of possession to original owner.
4) you can file suit for specific performance for registration of sale deed.
5) one more for detail of case need to verify the documents and its contention and clauses.
thanks,
adv sayyad
You cannot purchase the property on the basis of an unregistered POA
The power agent is legally not an authorised person to sell the property.
The lady who demands money now may come with a suit seeking possession of her property then you will be involved in the unnecessary litigation, after which you will be losing your peace, energy and money into the litigation.
Better you consult a lawyer and proceed with the proper legal procedures towards the purchase since the investment amount is huge.
but before amendment to registration act registration of POA was optional as per my knowledge then to notarized POA is invalid?
The current situation is that the POA has to be a registered document otherwise the the power agent with the unregistered power of attorney deed cannot execute a registered sale deed