General Power of Attorney Philippines (With Sample Template)
You are going abroad for work, so you wonder how you can draft a power of attorney authorizing your cousin to manage your business and properties while you are away. This guide is here to help you prepare a general power of attorney, the type of power of attorney that applies to your case.
DISCLAIMER: This article has been written for general informational purposes only and is not legal advice or a substitute for legal counsel. You should contact your attorney to obtain advice with respect to any particular issue or problem. The use of the information contained herein does not create an attorney-client relationship between the author and the user/reader.
Table of Contents
At a Glance: Free Downloadable/Editable General Power of Attorney Sample Template
To save you the hassle of writing a General Power of Attorney from scratch, you may download this sample template and edit the contents using the guide below. You may delete the rest of the clauses that are not needed.
What Is a General Power of Attorney?
A General Power of Attorney is a document authorizing another person (called the agent) to render some service or do something in representation or on behalf of another (called the principal). The service or task to be performed by the agent in a General Power of Attorney is limited to the administration of the business or affairs of the principal.
What Is the Difference Between a Special Power of Attorney and a General Power of Attorney?
The General Power of Attorney (GPA) and the Special Power of Attorney (SPA) both give the agent the power to act for and on behalf of the principal. The difference lies in the scope of authority given to the agent.
In GPA, the agent’s authority covers the administration of all the businesses of the principal. On the other hand, an SPA is for one or more specific transactions.
When Should I Draft a General Power of Attorney/Special Power of Attorney?
If you want your agent or representative to administer, manage, or supervise your business or property, then you may execute a GPA. The tasks under a GPA encompass all acts of administration, except those cases where an SPA is required under the law to make the agent’s action valid and binding to the principal.
For example, even if you gave your agent a GPA, your agent cannot sell or donate the property entrusted under the GPA because selling or donating (or any act of transfer of ownership of the real property) requires an SPA.
Several cases had been decided by the Supreme Court, where the sale of real property was invalidated as the agent is only clothed with a GPA instead of an SPA.
Article 1878 of the New Civil Code of the Philippines3 lists all actions requiring SPA, not just a GPA.
A GPA is usually given when you want a trusted person to administer or manage your business or property when you cannot attend to it personally for some reason (e.g., you are abroad).
How To Make or Draft a General Power of Attorney: 3 Steps
Drafting a General Power of Attorney is easy with the following steps:
1. Prepare the document
A General Power of Attorney contains the following parts:
- Title of the document.
- Name of the parties (principal and attorney-in-fact), a statement stating their legal age, civil status, citizenship, and residence address.
- Enumeration of the tasks to be performed by the agent/attorney-in-fact.
- Date and place where the principal will sign the GPA.
- Name and signature of the principal.
- Name and signature of the agent.
- Name and signature of witnesses.
- Acknowledgment from the notary public.
2. Print at least three copies of the document
- One copy goes to the notary public.
- One or two copies go to the principal.
- One or two copies go to the agent.
3. Go to a notary public to have the GPA notarized
Don’t forget to bring a valid ID, as the notary will have to verify your identity.
Frequently Asked Questions
1. How much does it cost to have a General Power of Attorney?
The cost of notarization varies depending on the location and the notary public. Rates could range from Php 500 to Php 1,000 or higher.
2. Can a General Power of Attorney be revoked? How can I cancel it?
Yes, a General Power of Attorney (GPA) can be revoked at the principal’s will. The revocation may be expressed or implied. For example, the GPA has revoked if you, as the principal
*directly administer or manage the business or property subject of the General Power of Attorney
*appoint a new agent
*execute a Revocation of the General Power of Attorney and publish the same in the newspaper of general circulation to notify third parties who may have acted in good faith and without knowledge of the revocation
*execute a new Special Power of Attorney that is the subject of the General Power of Attorney
However, a General Power of Attorney cannot be revoked in any of the following situations:
*If a bilateral contract depends on the General Power of Attorney
*If the General Power of Attorney is a means to fulfill an obligation already contracted;
*If a partner is appointed manager in a partnership contract, his removal from management is unjustifiable.
3. Does a General Power of Attorney have an expiry date? How long is the validity period?
The principal can set an expiry date of the General Power of Attorney, valid during the stated period.
Under Article 1919 of the New Civil Code, a General Power of Attorney is extinguished or also ends in any of the following situations:
a. If the principal revokes the agency
b. If the agent withdraws from the agency
c. If the principal or agent dies, suffers civil interdiction, becomes insane or insolvent
d. If a firm or corporation that accepted the General Power of Attorney becomes insolvent or dissolved
e. If the object or purpose of the General Power of Attorney is accomplished
f. If the period for which the General Power of Attorney was constituted expires
4. What happens to the General Power of Attorney when the principal dies?
Generally, a power of attorney is terminated upon the principal’s death. However, a power of attorney is effective even after the principal’s death if it has been constituted or created in the common interest of the principal and the agent or in the interest of a third person who has accepted the terms of the General Power of Attorney in his favor.
This means that if parties involved in the General Power of Attorney have a vested interest, the authority survives even after the principal’s death.
5. Can I give a General Power of Attorney to my representative in the Philippines, even if I am abroad? How can I do it, and what is the process?
You may execute a Consularized General Power of Attorney to your nearest Embassy or Consulate. The process is the same as getting a Consularized Special Power of Attorney.
6. What is the difference between a General Power of Attorney (GPA) and an Enduring Power of Attorney (EPA)?
The fundamental difference between a General Power of Attorney (GPA) and an Enduring Power of Attorney (EPA) is that a GPA is generally terminated or ends when the principal loses mental capacity. At the same time, the EPA continues to be valid (or endures) even after the donor becomes incapacitated.
An EPA is a legal document executed by a person (called the donor) appointing another person (called the attorney) to make the property and financial decisions on his behalf when the donor cannot make decisions for himself due to incapacity (mental or physical). The task of the EPA is limited to property and financial matters and does not cover the authority to make personal, lifestyle, and treatment decisions.
EPA is present in countries adopting the English law, such as the UK4 and Australia5.
7. What is the difference between a General Power of Attorney (GPA) and a Medical Power of Attorney (Medical POA)?
The difference between a GPA and a Medical POA is the subject of the agency.
Under the Philippine New Civil Code, a GPA is created when a person (principal) wants to appoint another person (attorney-in-fact) to administer his or her business and affairs. A Medical POA (also called a Healthcare POA), on the other hand, is created to allow a person to designate another person to make medical decisions on the former’s behalf when he or she is unable to do so due to medical conditions such as insanity, coma, dementia, or the like.
Medical POA appears to be common in the US.
References
- Enduring power of attorney: acting as an attorney. Retrieved 14 October 2020, from https://www.gov.uk/enduring-power-attorney-duties
- Office of the Public Advocate of the Government of Western Australia. (2013). A Guide to Enduring Power of Attorney in Western Australia [Ebook]. Retrieved from https://www.publicadvocate.wa.gov.au/_files/EPA_Guide.pdf
- Republic Act No. 386: Civil Code of the Philippines (1949).
- Enduring power of attorney: acting as an attorney. Retrieved 14 October 2020, from https://www.gov.uk/enduring-power-attorney-duties
- Office of the Public Advocate of the Government of Western Australia. (2013). A Guide to Enduring Power of Attorney in Western Australia [Ebook]. Retrieved from https://www.publicadvocate.wa.gov.au/_files/EPA_Guide.pdf
Written by Atty. Kareen Lucero
Atty. Kareen Lucero
Kareen Lucero is a lawyer previously doing litigation before working for different agencies in the government and for a multinational corporation. She has traveled to 52+ countries including a 3-month solo backpacking in South East Asia and more than 1 year of solo traveling across four continents in the world. As part of giving back, she is passionate about sharing her knowledge of law and travel. She is currently doing consulting work for a government agency. For inquiries, you may reach her via Facebook Messenger (https://m.me/kareen.lucero.77) or email ([email protected]).
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