Understanding Power of Attorney: General vs Special

A Power of Attorney (PoA) is a legal document by which one person (the principal) authorises another (the agent or attorney) to act on their behalf. The scope of that authority depends on whether the PoA is General or Special.

A General Power of Attorney (GPA) confers broad authority to act across a range of matters — managing property, operating bank accounts, representing the principal before authorities — and is typically used when the principal is unavailable for an extended period, such as while residing abroad.

A Special Power of Attorney (SPA), by contrast, is limited to a specific transaction or purpose — for instance, executing a particular sale deed, appearing in a specific case, or collecting a particular payment. Because its scope is narrow, an SPA carries lower risk of misuse.

It bears emphasis that a GPA does not, by itself, transfer ownership of immovable property. Following the Supreme Court's ruling in Suraj Lamp & Industries v. State of Haryana, 'GPA sales' — i.e., treating a Power of Attorney as a substitute for a registered Sale Deed — are not recognised as valid transfers of title.

Whether you require a GPA for NRI property management or an SPA for a one-time transaction, precise drafting of the scope of authority, its duration, and revocability is essential to avoid future disputes.