There have been numerous cases in Pakistan where the property owner is in a foreign country, and someone in Pakistan has bought their property. This is possible in the case the foreign residing property owner has given someone the power of attorney to make the sale on their behalf.
Graana.com, Pakistan’s smartest property portal, looks at the definition of Power of Attorney in Pakistan and how foreign Pakistanis can get the document.
Power of Attorney, also known as Mukhtar Nama, is used by a litigant (donor/executant/principal) to authorise a designated individual (donee/agent) to represent them in legal matters.
The Power of Attorney (POA) can also be used when the litigant is an overseas Pakistani and has to send a representative in their place in their home country.
The Power of Attorney Act, 1882 defines it as:
“The donee [Executant] of a power-of-attorney may, if they think fit, execute or do any assurance, instrument or thing in and with his own name and signature, and his own seal, where sealing is required, by the authority of the donor of the power; and every assurance, instrument, and thing so executed and done, shall be as effectual in law as if it had been executed or done by the donee of the power in the name, and with the signature and seal, of the donor thereof.”
However, the use of POA is not limited to court proceedings; it can be used in legal issues pertaining to taxation and buying, selling, and renting property.
In Pakistan, there are three types of Power of Attorney:
Also known as Mukhtar Nama Aam, the General Power of Attorney is used in a situation where a litigant gives a person the right of representation in its entirety.
That is to say that the representative, on behalf of the litigant, can hire lawyers, sell and purchase assets, and file appeals.
It should be noted that the executant can specify whether the General Power of Attorney is revocable or irrevocable. In such a case, all terms and conditions of the General Power of Attorney must be mentioned.
The Special Power of Attorney, also known as Mukhtar Nama Khas, allows a person to appoint a representative for a specific purpose.
This task is to be clearly mentioned on the Special Power of Attorney document.
The Legal Power of Attorney, known as Vakalat Nama in the local language, is a document submitted by a person’s lawyer in court to inform that they will be representing the person in a particular case.
The Courts in Pakistan have legalised the sale of property through POA. In (PLJ) 2016 LHR 881, the Lahore High Court ruled that a representative cannot sell a property without a POA from the executant (the owner of the property).
Therefore, power of attorney can be used for the sale of property. However, it should be noted that POA is valid only when registered under the Section 17 of Registration Act. In addition, it should be noted that the 2016 Civil Law Case (CLC) 1338 mentions that the property being sold must be clearly mentioned in the POA.
In case both the executant and the representative are in Pakistan, the procedure of getting a POA is as follows:
The process for POA for overseas Pakistanis is different from the one stated above. The process has been stated below.
The National Database & Registration Authority (NADRA) has started the service of digital POA with selected missions abroad.
These are given below:
Country | City | Address | Phone No. |
United States of America | Chicago | 333 N Michigan Ave Suit 728, IL 60601 | 001312 781 1831 |
United States of America | Washington DC | 3517, International Court NW, DC 20008 | 202 243 6500 |
United States of America | Houston | 11850 Jones Road, TX 77070 | 12818902223 |
United States of America | Los Angeles | 10700 Santa Monica Blvd, suite 211, Los Angeles, CA 90025 | 00310-4415114-4410167 |
United States of America | New York | Embassy of Pakistan, 12 East 65th Street, NY 10065. | (01)-212-879-5800 Ext 229 (fax) 517-6987 |
United Kingdom | London | Pakistan High Commission, 34 Lowndes Square, SW1X 9JN. | 44-0207-6649200/11 |
United Kingdom | Glasgow | 45 Maxwell Dr, Pollokshields, Glasgow G41 5JF | +44 7378 790257 |
United Kingdom | Birmingham | 10-A, The Wharf Bridge Street B1 2JS | |
United Kingdom | Manchester | 137-Dickenson Road M14 5JB | 1612251786 |
United Kingdom | Bradford | Consul General, 12-A North Parade, BD1 3HT. | (00 44 1274) 308062, 308064, 308874 |
In order to obtain a digital POA, the following criteria must be met.
The fee of getting a POA can vary greatly depending on the legal agency you register it with. Besides this fee, the official registration fee of the POA is 1% of the total property value.
It should be noted here that the POA is to be printed on stamp paper of Rs.500 to Rs. 5,000.
For more information on real estate law, visit Graana blog.
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