A Power of Attorney is an instrument of agency. By itself, it does not transfer ownership or create title in an immovable property in favour of the attorney-holder.
The Supreme Court in Suraj Lamp & Industries Pvt. Ltd. v. State of Haryana explained that a power of attorney authorises the grantee to act on behalf of the grantor; it is not an instrument of transfer of right, title or interest in immovable property. Even an irrevocable power of attorney does not, by itself, transfer title to the attorney-holder.
The Supreme Court also distinguished a genuine power of attorney used to manage property or to execute a conveyance on behalf of the owner from so-called “GPA sales” or SA/GPA/Will arrangements that are sought to be treated as completed transfers. Immovable property is ordinarily conveyed through the legally required conveyance instrument and registration.
A recent decision of the Delhi High Court in Bhisham Mehta v. Mrs. Gita Vig & Ors. (RFA 645/2022, decided 31 August 2026) again applied this principle. The Court held that a General Power of Attorney was a document of agency and not an instrument transferring right, title or interest in the property. It also considered the agent's obligation to account for sale consideration received on behalf of the principal.
Before purchasing or dealing with immovable property through a Power of Attorney, the parties should carefully examine the title documents, the scope and validity of the authority granted, the underlying transaction, registration requirements and the applicable State law. A Power of Attorney should not be treated as a substitute for a conveyance merely because it contains extensive powers.
With Regards,
S. JEEVAGAN, M.A., LL.M.
Advocate & Legal Consultant
M/s. JEEVAGAN LAW ASSOCIATES, MADURAI.