Authorisation by LLP for sale of property

Can a LLP authorise an individual (who is not a partner / manager of the LLP) to enter into a sale agreement of an immovable property through passing a resolution in a meeting of the partners of the LLP? Or a special power of attorney is required to be issued in favour of the individual by the LLP? If the individual in whose favour the rights are assigned to execute the sale deed is an employee of the LLP, does the legal position change? i.e. Whether the LLP can authorise an employee to execute the sale deed, through a resolution of the partners.

Answers (4)

256 votes

LLP can authorise anyone through its resolution by the partners duly signed by the Managing Partner for the purpose of signing any deed or executing the sale deed. Special power of attorney would bring more authenticity, but the same should be registered before the SRO.

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135 votes

No. Registered Power of Attorney is required for executing any registered deed regarding immovable property. LLP cannot authorise an employee to execute the sale deed, through a resolution of the partners.

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349 votes

A power of attorney holder is not authorized by law to enter into or execute a Sale Deed. However if he is fully authorized with the consent of the Company and it's directors then he can execute a Sale Deed.

239 votes

1. LLP can authorize a person who is not manager / partner to execute a sale agreement to sell the immovable property of the LLP.

2. This can be by registered general or special power of attorney and not by a resolution passed at the meeting of LLP.

3. The position does not change if the individual is an employee of the LLP.

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