You must have heard about it several times and may even know some basics about it. The fact is that power of attorney UAE is an extremely powerful document. It is not just a piece of paper, rather it is the authority letter that allows you to literally hand over a fraction of a property, business, home, car or any belongings. The only thing you should know about POA is that it is a powerful document and must never be handed over to someone whom you cannot trust. It is up to the owner of the belongings to allow the type of control to the POA. Even the person to hold it will be decided by the owner so there is no say involved. There are several misconceptions spread about the power of attorney. The reason is simple – people know little to nothing about power of attorney and that’s why they end up consuming to misconceptions. The truth is that despite strength and authority, even the POA doesn’t have the final word and some degree of authority still remains with the person who initiated the POA.
Limited or total power?
There are several different types of POA according to the law. For instance, the person nominated for the POA will surely have some degree of authority over the belongings but only as mentioned in the document. This means that the person holding the POA will have the power but not sweeping control over the POA. As a matter of fact, the law doesn’t allow explicit control over the matter to some third party and that too only after the consent of the actual owner of the property.
Well, the POA is by nature, unless specified otherwise, is a temporary and time limited document. You cannot claim to have the power over certain belongings for life especially when nominated by the actual owner of those. That said, during the time you had power over things, you are allowed to treat those as you please without asking anyone. That’s one aspect that must be kept in mind before going for the POA and have it given to someone. If you are planning to do that, make sure you have one or more legitimate reasons for doing so. It is a calculated risk and should be taken as such. For the bearer, having the POA in hand is like having the ultimate power. In the meantime, do pay attention to your endeavor of offshore company formation in Dubai.