Power of Attorney for NRIs – Drafting, Use & Risks

The Legal Reality: Why POA Matters

A Power of Attorney (POA) is not just a form; it is a legal act where you create a "proxy" of yourself. For NRIs, the Special Power of Attorney (SPA) is the gold standard for property transactions, distinguishing strictly between "management" and "sale" powers.

> Risk Alert: 90% of property fraud involving NRIs happens because of broadly drafted General POAs (GPAs) given to relatives or brokers.

SPA vs GPA: The Decision Logic

When to use SPA:

• Selling a specific property
• Registration of a specific deed
• Admitting execution before a Sub-Registrar

When to use GPA:

• Managing rental properties (without sale powers)
• Representing in court cases generally

Drafting Best Practices (The 'Safeguard' Layer)

Most generic drafts fail to protect the NRI. Ensure your draft includes:

1. The "Consideration" Clause

Explicitly state that *no money* should be received by the Agent.

• *Drafting Tip:* "All sale consideration must be paid directly to the Principal's NRO Bank Account via Cheque/RTGS."

2. The "Indemnity" Clause

Protect yourself from illegal acts done by the Agent.

• *Drafting Tip:* "The Agent shall be solely liable for any acts beyond the scope of this POA."

3. Life Certificate Requirement

For high-value GPAs, require an annual ratification.

> Decision Moment: Are you unsure if your current draft puts you at risk?

> [💬 Talk to Legal Expert](/join) — Get clarity from a verified NRI specialist — no sales pressure.

Execution Process: From Abroad to India

Step 1: Drafting

Get it drafted by an Indian lawyer to ensure local formats (State-specific) are met.

Step 2: Attestation (Consulate) or Apostille

• Consulate Method: Visit the Indian Consulate/Embassy with the draft. Sign it in front of the Consular Officer. They will stamp and attest it.
• Apostille Method: For Hague Convention countries (like USA, UK), you can get it notarized locally and then Apostilled.

Step 3: Mailing

Send the physical original to India via secure courier (DHL/FedEx).

Step 4: Adjudication (Crucial Step)

Your agent in India must take it to the District Registrar within 3 months of receipt to get it "Adjudicated" (stamped for India). Without this, the POA is invalid in Indian courts.

Revocation: How to Cancel a POA

If you suspect misuse, you must act immediately:

1. Issue a Legal Notice cancelling the POA.
2. Public Notice: Publish a revocation notice in 2 local newspapers (English + Vernacular).
3. Register Cancellation: If the POA was registered, the cancellation deed must also be registered.

> High Stakes: Planning to execute a POA soon?

> [👉 Check Eligibility](/tools/property-oversight-frequency) — Answer 5 quick questions to know if you qualify for remote execution.