14 April 2022
Conveyancing – Powers of attorney and verifying identity
Dear Mentor
If an attorney under a general power of attorney instructs to sell a property, does a solicitor need to verify the principal's identity? Or do they need to check anything about the principal?
Also what happens if the power of attorney has been forged?
Thank you
Thank you for the question.
The principal will be the registered proprietor appearing on title to the property, so their identity needs to be verified. The attorney’s identity also needs to be verified to safeguard against fraud.
The power of attorney needs to be registered at NSW Land Registry Services before it can be used to transact real property.
Section 48 of the Powers of Attorney Act 2003 provides protection for third parties who act in good faith while unaware of a power’s invalidity.
Regards
Mentor
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