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USA/Canada

UAE

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© 2024 Totality Real Estate LLC.

All rights reserved.

Contact

USA/Canada

UAE

UK

Request a Call

© 2024 Totality Real Estate LLC. All rights reserved.

Can a power of attorney be utilized for conducting real estate transactions in Dubai?

Yes, a Power of Attorney (POA) can be utilized for conducting real estate transactions in Dubai. This legal instrument allows an individual (the principal) to grant another person (the attorney or agent) the authority to act on their behalf in various matters, including real estate transactions. However, there are specific requirements and considerations to ensure the POA is valid and accepted in Dubai.

Key Points:

  1. Types of Power of Attorney:

    • General Power of Attorney: This grants broad powers to the agent, allowing them to manage multiple aspects of the principal’s affairs, including buying, selling, and managing properties.

    • Special Power of Attorney: This is more specific and grants the agent authority to carry out a particular task, such as purchasing or selling a specific property. For real estate transactions, a special POA is often preferred as it clearly defines the scope of authority.

  2. Legalization and Attestation:

    • For a POA to be valid in Dubai, it must be notarized by a Notary Public in the UAE. If the POA is issued outside of the UAE, it must be legalized in the country of origin, which typically involves notarization, authentication by the Ministry of Foreign Affairs, and attestation by the UAE Embassy. Once in Dubai, the document must be attested by the UAE Ministry of Foreign Affairs and International Cooperation.

  3. Registration with the Dubai Land Department (DLD):

    • The POA must be registered with the Dubai Land Department (DLD) to be used in real estate transactions. This ensures that the DLD recognizes the authority of the agent to act on behalf of the principal in any property dealings. The registration process involves submitting the notarized POA along with other required documents to the DLD.

  4. Limitations and Validity:

    • The POA is typically valid for a specific period, often one to three years, unless otherwise stated. It’s important to note that the principal can revoke the POA at any time, provided it’s done in writing and the revocation is communicated to all relevant parties.

    • The POA should explicitly state the powers being granted, and any ambiguity might limit the agent’s ability to act effectively.

  5. Risks and Precautions:

    • While a POA can be very useful, it also carries risks. The principal should ensure that the agent is trustworthy and capable of managing their affairs responsibly. It’s also advisable to consult with a legal expert when drafting a POA to ensure it meets all legal requirements and protects the principal’s interests.

Supporting Data:

  • According to the Dubai Land Department (DLD), the use of a Power of Attorney in real estate transactions is common, especially among expatriates and investors who may not be physically present in Dubai.

  • Legal firms in Dubai, such as HPL Yamalova & Plewka, emphasize the importance of ensuring that the POA is specific, well-drafted, and properly registered to avoid any legal issues during the transaction process.

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