Power of Attorney in Pakistan: (All You Need to Know)

This is a complete guide to Power of Attorney (POA) in Pakistan for 2024.

In this post, you will discover:

What is Power of Attorney?

power of attorney (aka Mukhtar Nama) or letter of attorney is a written authorization to represent or act on another’s behalf in private affairs, business, or other legal matters.

Sources: Wikipedia

See Also: Here are the ICONS HowTo guides like How to become a tax filer in Pakistan, hassle-free and fast.

Selling Property Through POA

The Power of Attorney (aka Mukhtar Nama) for property gives legal authority to someone to sell a property. This includes selling, renting, or handling legal matters on behalf of the owner.

Who can apply

Every Pakistani citizen who is a major, adult and according to law is competent to enter into a contract whether resides in Pakistan or outside Pakistan (Overseas Pakistani means living abroad) may authorize any other person through power of attorney to sell property on their behalf. 

Also, a company or a trust may nominate/appoint an attorney to sell their property.

However, in the case of a company or trust, they resolve this matter in the Board of Directors meeting.

How to Apply

The question is how an overseas Pakistani gets ready power of attorney.

Overseas Pakistanis, can have 2-options are:

In-person

You apply a power of attorney by accompanying two witnesses to a consulate or an embassy.

Nadra Digital POA

The GOP makes it easier for overseas Pakistanis to grant a POA for property matters online. This digital POA is acceptable in Pakistani Housing Projects/Housing Societies or courts. You can apply through the NADRA online portal. To apply, register yourself on their official website.

The grantor must visit the Pakistani embassy for attestation.

Requirements for Digital POA

  • NICOP (National Identity Card for Overseas Pakistanis) of the grantor
  • Valid CNIC (Computerized National Identity Card)
  • Copies of the grantor’s passport
  • Email address
  • Postal address
  • The grantor’s bio-metrics
  • Bio-metrics of two witnesses
  • Scanned thumb impressions of the grantor and witnesses

If you’re in Pakistan, how do you apply/get it?

You can prepare it by consulting any advocate or visiting any stamp vendor.

Next, visit the Sub-Registrar Revenue office to register this POA, accompanied by the person you appoint as your attorney and two witnesses.

How much does it cost you?

The registration fee for a Power of Attorney depends on certain factors:

  • There is no fee if the agent is a blood relative of the grantor.
  • If not, the fee is 1% of the property’s value.
  • Additionally, a 2% tax applies for the registration fee.

Legal Terms

Here are some legal terms related to the power of attorney that you should know:

Principal/Donor/Grantor 

The person authorizing the other to act out is the principal, grantor, or donor (of the power).

In simple terms, someone who grants limited or broad legal authority to another person to make decisions or act on his behalf.

Agent/Attorney-in-Fact 

A person who has the power to act out for another person (the principal) according to a specific power of attorney.

Put simply, the one authorized to act out is the agent, attorney, or in some jurisdictions, the attorney-in-fact

As stated above, an agent or Attorney-in-fact possesses limited or broad legal authority to make decisions regarding the principal’s possessions, finances and other legal matters.

Types of POA in Pakistan

POA has three main types. Each type has specific features and limitations. The POA for property focuses only on legal matters related to property dealings.

  • General POA (Mukhtar Nama)
  • Special POA (Mukhtar Nama Khas)
  • Legal POA (Vakalat Nama)

General Power of Attorney (GPA)

A General Power of Attorney (aka Mukhtar Nama Aam) gives full authority to the agent on behalf of the principal. This allows the agent to handle any legal matters or tasks for the principal in their absence.

The principal can set specific terms and conditions for the General Power of Attorney, especially for property matters. A principal can set a duration Mukhtar Nama Aam for its validity.

Special POA

A Special Power of Attorney (aka Mukhtar Nama Khas) gives limited authority to the agent. Unlike general legal authority, this special POA focuses on one specified action.

Legal POA

Legal Power of Attorney (aka Wakalat Nama) allows the grantor to appoint a lawyer. So a lawyer represents them in a specific case. It is a common type of Power of Attorney.

With that said, a POA pertains to any immovable property, sale, or mortgage. You must register it under section 17 of the Registration Act of 1908.

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Property Registration through POA

To register a Power of Attorney in Pakistan, you’ll need:

  • A statement from the grantor on stamp paper worth 500 to 5,000 PKR
  • Two witnesses with copies of their CNICs
  • A copy of the property registry

Pro-tip: There is no registration fee if the agent is a blood relative of the grantor.

Required Documents

Below are the required documents for a Power of Attorney for property in Pakistan:

  • Original application form for the Power of Attorney
  • Attested application form by a notary public or judge
  • Original CNICs of both the grantor and the agent
  • Two passport-size photos of each individual
  • Paid processing fee slip

Cancellation of POA 

To cancel the POA, the principal can apply to revoke the POA at any time, General or Special.

Moreover, if an Attorney (aka principal) dies, the POA cancels automatically.

A principal can apply to the Registrar concerned to cancel the POA.

In Fact: Pakistan’s government appoints notaries to the public to witness the attestation and verification of important legal documents to prevent fraud.

POA Act 1882

Here is the Power of Attorney Act 1882 as under:

“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 name and signature, and his 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.”

Conclusion

In a nutshell, this guide has got you to answer the two main questions:

  • How can an overseas Pakistani sell his property through power of attorney in Pakistan while living abroad?
  • How does a Pakistani sell his property through POA in Pakistan being in Pakistan?

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