In what Cases do you Need a Special Power of Attorney? | 23 February 2024

A Special Power of Attorney is necessary in some cases

In What Cases Do You Need a Special Power of Attorney?

A Special Power of Attorney is necessary in the following cases:

1) To make such payments as are not usually considered as acts of administration;

2) To effect novations which put an end to obligations already in existence at the time the agency was constituted;

3) To compromise, to submit questions to arbitration, to renounce the right to appeal from a judgment, to waive objections to the venue of an action or to abandon a prescription already acquired;

4) To waive any obligation gratuitously;

5) To enter into any contract by which the ownership of an immovable is transmitted or acquired either gratuitously or for a valuable consideration;

6) To make gifts, except customary ones for charity or those made to employees in the business managed by the agent;

7) To loan or borrow money, unless the latter act be urgent and indispensable for the preservation of the things which are under administration;

8) To lease any real property to another person for more than one year;

9) To bind the principal to render some service without compensation;

10) To bind the principal in a contract of partnership;

11) To obligate the principal as a guarantor or surety;

12) To create or convey real rights over immovable property;

13) To accept or repudiate an inheritance;

14) To ratify or recognize obligations contracted before the agency;

15) Any other act of strict dominion.

(Article 1878 of the New Civil Code of the Philippines)

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