Power of Attorney for Selling Property in Bahrain

Powers of attorney are a key legal tool in real estate and business deals. The one used for selling property, though, raises more questions than most.

Read on for clear answers to the most common questions about a Power of Attorney for Selling Property in Bahrain.

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Request a Restricted Power of Attorney for Selling PropertyOr keep reading for a detailed look at the conditions and rules that govern real estate powers of attorney.

Power of Attorney for Selling Property in Bahrain

Under Article 640 of the Civil Code, a power of attorney is a contract in which one person, the principal, puts another person in their place to carry out a legal act.

In the case of selling property, the owner (the principal) authorizes someone else, the agent, to sell the property on their behalf.

Article 644 builds on that. It requires a special power of attorney for any act that goes beyond ordinary administration, especially donations, sales, settlements, mortgages, and arbitration.

Keep in mind what counts as administration. It covers leasing a property for up to 3 years, preserving and maintaining it, collecting rights, and paying debts. It also covers any act of disposal that administration itself calls for, such as selling a crop.

As for ending a power of attorney, Article 658 of the Civil Code says it ends in any of these cases:

• The period set in the contract expires, if the power of attorney has a fixed term.
• The task is completed, which means the property has been sold.
• The principal or the agent dies or loses legal capacity.

Article 659 goes a step further. It allows the principal to dismiss the agent or restrict their powers, even if an agreement says otherwise. But if the agent suffers harm because they were dismissed at a bad time or without a valid reason, the principal must compensate them for the damage.

Ask a real estate lawyer at the office of Abdulrahman Khalifa in Bahrain for anything else you need to know about powers of attorney. We’re ready to help.

Conditions for a Power of Attorney for Selling Property

Check a few legal and procedural conditions before getting into the steps of a property sale power of attorney in Bahrain. They protect the validity of the power of attorney and the rights of both the principal and the agent. These conditions are:

• The principal must have the legal capacity to deal with their property, meaning they are not a minor, under interdiction (barred by a court from managing their affairs), or a spendthrift.
• The principal must own the property they want to sell, or have the legal standing to deal with it.
• The power of attorney must take the form the law requires for the legal act it covers.
• Have the power of attorney notarized by the competent authority.
• The agent must carry out the power of attorney without going beyond the powers and limits given to them.

Procedures for a Power of Attorney for Selling Property

Follow a few basic steps to make sure the power of attorney is valid. Here they are:

Preparing the Power of Attorney

Together, the property owner (the principal) and the agent write the contract. They set out its terms and conditions and the agent’s powers, then sign it.

Gathering the Documents Needed for Notarization

These include:

• • The original property title deed, which must be free of any encumbrances or obligations. Also, only one power of attorney may be issued for selling a property.
  • The principal’s original passport or ID card.
  • The company contract, the commercial registration extract, and the meeting minutes or company resolution, if the principal is a company.
  • If any of the documents above were issued outside the Kingdom of Bahrain, they must be attested by all the official authorities and the Bahraini Ministry of Foreign Affairs, or carry an apostille.
  • All required documents must be in Arabic. If they’re in another language, bring a translation.

Notarizing the Power of Attorney

Once the power of attorney is prepared and its terms are agreed, have it notarized by the notary at the Ministry of Justice, Islamic Affairs and Waqf.

Carrying Out the Power of Attorney

After every step for the property is complete, the agent starts acting on the power of attorney within the powers they were given.

Frequently Asked Questions

That brings us to the end of this guide to a Power of Attorney for Selling Property in Bahrain. Contact our office with any question or concern, and a lawyer in Bahrain will always be ready to give you the legal advice you need.

Lawyer Abdulrahman Khalifa

A Bahraini lawyer and the founder of a legal consultancy firm established in February 2019. He holds a Higher Degree in Sharia and Law from Al-Azhar University. He has extensive experience in court representation and providing legal advice in criminal, personal status, civil, and commercial matters. He is known for delivering clear, practical, and effective legal advice aimed at protecting his clients’ rights and interests, and has achieved tangible results in notable cases, including commercial litigation and inheritance matters