Irrevocable power of attorney means a power of attorney which a principle cannot revoke. In order to constitute an irrevocable power of attorney there must coexist with the power a beneficial interest in the subject thereof which is enforceable, or the power must be given as security for the payment of a sum of money other than that which arises as compensation through the exercise of the power, or as security for the performance of some act of value. It is also called as a power of attorney coupled with an interest. It is a document list the authorization/power given to third party and further the power of attorney cannot be revoked.
An irrevocable power of attorney defines the principal and the person who can make decisions on their behalf, called the agent. Additionally, the power of attorney describes the exact decision-making powers granted to the agent, including any limitations to their authority. Courts may grant an irrevocable power of attorney in cases involving guardianship over children, in which the proposed guardian may live out of state away from the children. Additionally, an irrevocable power of attorney may assign medical treatment decisions to an agent.
An irrevocable power of attorney should include clauses related to material particulars (personal information) of the principal and the agent i.e. the parties, the various purposes for which the agent is authorised to act on behalf of the agent, and the list of 2 witnesses who shall affirm the contents of the irrevocable power of attorney.
Draft of Irrevocable Power of Attorney
Know All Men by These Presents That We/ M/s………………a public/private ltd. Company incorporated under the Companies Act,____ with its registered office at…………….through Shri………….authorised by the Board of Directors of the Company vide Resolution dated or Constituted as a Sole/Proprietor ship Concern /Firm under the Indian Partnership Act, 1932 with its principal place of business at……………….through its partners/Namely Shri…………..having executed in favour of the Uttar Pradesh Financial Corporation a Statutory body incorporated under the State Financial Corporation an agreement a deed of hypothecation for Rs……..Rupees…………………………………..only and secured the repayment thereof by deposit of the Corporation empowering the corporation to execute a deed of mortgage in the form of an English Mortgage and have the same registered at the cost of the Company /Firm Concern if and wherever the Corporation find it advisable to do so during the pendency of the liability of the company firm concern to the corporation. Do hereby appoint the Corporation to be its attorney for its and in its name and on its behalf for otherwise for the Company/Firm/Concern for the purpose hereinafter mentioned.
To execute a mortgage in the form know as English Mortgage of the whole of the assets of the company/firm sole proprietor including and building machinery a electric fittings both present and future in favour of the corporation on terms and condition contained in the agreement and deed of hypothecation.
To sign the said deed of mortgage for and behalf of the Company/Firm concern and to have it registered with proper registering authority by admitting its execution and passing of consideration on behalf of the company/firm/concern and for the company/firm/concern.
And also execute and to do all such other acts and things as our said attorney shall deem fit for the purpose of securing the said repayment of the loan by the company /firm concern aforesaid.
To perform and obtain the Income-tax clearance certificate under Section 230-A (I) of Income-tax Act, for and on behalf of the borrower.
To apply and obtain the necessary permission/exemption under Urban Land Ceiling and Regulation Act, 1976 for and on behalf of the borrower, if necessary.
To perform the above functions either through himself for through lawfully constituted authority.
And the company/firm/concern hereby do agree to ratify and confirm whatever its said attorney shall do here under.
IN WITNESS WHEREOF, I/WE…………………………have hereunto set my/our hand(s) this………….day of…………..in the year ………...
(…………….)
(…………….)
Signature
THIS POWER OF ATTORNEY was this………..day of……… produced and executed before me and the within named………….who is ./are known to me has/have acknowledged it to be their/his act and execution.
SIGNATURE AND SEAL OF
THE PUBLIC NOTARY
There are no specific documents required for the drafting and execution of an irrevocable power of attorney. However, ID proofs of the parties in order to confirm the names and permanent addresses of the principal and agent should be scrutinised. Documents evidencing clear title of the properties/businesses etc. must also be examined. The agent should be a person of trust and documents for a thorough background check of such agent should be done.
The services of a lawyer will be required to have an irrevocable power of attorney drafted, which may then be required to be registered as per the applicable law. An irrevocable power of attorney if sought to be registered shall be printed on a stamp paper. Registration of an irrevocable power of attorney is not mandatory unless it relates to immovable property, however it is advisable to have it registered at the respective sub-registrar’s office depending upon the prevailing laws in a State in India. Further, it is required to have the irrevocable power of attorney notarised/registered in the presence of two witnesses who shall also sign and affirm the contents of the same.
A person executing an irrevocable power of attorney must make sure that both parties have the legal authority to enter into the bond. Both the parties executing the bond must be of legal age to sign the bond and must do so without coercion or any undue influence. The parties signing the bond must be sane at the time of execution and should do so in the presence of witnesses.
While drafting a power of attorney, it is important to know as to what terminology should be used while drafting the same as a small ambiguity in the terms can also jeopardize the claim of the parties. This is why it is crucial to have a documentation lawyer to assist you with the drafting of the power of attorney. Being an expert in the area of documentation law, a documentation lawyer knows the nitty-gritty of the legal procedures and the requirements involved in drafting a power of attorney. With the experience attained in the field, he/she can guide you with the right advice while entering into a power of attorney and can make sure that such mistakes are eliminated that cannot be resolved even through further legal procedures.
Loan agreement sample document
Leave and license agreement sample document
Franchise agreement sample document
Agreement for sale of a house sale agreement sample document
Partnership deed sample document
Security bond by a surety sample document
Memorandum of understanding mou sample document
Simple mortgage deed sample document
Separation agreement between husband and wife sample document
Legal Notice for Cancellation of Power of Attorney
Free Legal Document - Banking / Finance
View Document
Revocation of the Power of Attorney
Free Legal Document - Banking / Finance
View Document
General Power of Attorney (GPA)
Free Legal Document - Banking / Finance
View Document
658+ Lawyers are online 
