Producing registered Power of Attorney in a PEXA settlement to a purchaser

[Osman_A]

Traditionally, in a paper settlement if the Transfer was signed by the Vendor's attorney pursuant to a Power of Attorney (which had to be registered), the Vendor was requested to provide a copy of the registered power of attorney on or before settlement for the Purchaser to sight and confirm that the Transfer has been executed properly and will be accepted by LRS on lodgement. 

Also, standard requisitions ask the following question:

• "If the transfer or any other document to be handed over on completion is executed pursuant to a power of attorney, then at least 7 days prior to completion a copy of the registered power of attorney should be produced and found in order"

1. Today, in an electronic settlement, does the Purchaser still require the Vendor's Power of Attorney to be produced to them at or before settlement?
2. As LRS cannot know whether the electronic Transfer document has been signed pursuant to a  Client Authorisation Form which has been signed by the Attorney or the Vendor personally, from a settlement and lodgement perspective there seems to be no basis for requesting from the Vendor a copy of the registered Power of Attorney to protect the Purchaser's interest. 
3. Obviously, the Purchaser also cannot know if the Vendor is selling with the signature of the Attorney as they will not be sighting any physical Transfer document or even the Client Authorisation Form. Should they be asking the Vendor each time if the Vendor or their Attorney's have signed the Client Authorisation Form. 
4. No doubt a Vendor will still be required to register the POA and if the Client Authrosiation Form has been signed by the Attorney's then the POA must be kept for record keeping in case of audit etc. However, is the Vendor or their Solicitor/Coveyancer required to disclose to the Purchaser that they have signed the Transfer electronically pursuant to a Client Authorisation Form that has been signed by the Vendor's attorney's under a registered POA AND are they then required to provide to the Purchaser a copy of the POA? 
5. In light of the above, is the above quoted Requisition relevant or applicable and if not how should a Vendor respond to that requisition.

Interested to know what everyone thinks on this issue. If this is covered in the ARNECC guidelines or anywhere else please advise. 

[GeorgePolus]

Hi Osman,

I assume you are speaking about NSW.   It is always helpful when you ask questions to specify jurisdiction as rules differ by jurisdiction. 

Assuming NSW  . . . .

Regarding client under PoA.

Please refer to clause 5.6 of the MPR.  This clause provides the detail which should assist you. 

Regarding your comment re; 'Standard Requisitions'. 

I checked with NSW LRS.   Neither NSW LRS nor I understand what you mean by:

"If the transfer or any other document to be handed over on completion is executed pursuant to a power of attorney, then at least 7 days prior to completion a copy of the registered power of attorney should be produced and found in order"

Would you please clarify. 

Please contact me @GeorgePolus  if you need more info. 

Rgds

George

[Osman_A]

@GeorgePolus 

Thank you for your response however Clause 5.6 of the MPR does not answer nor apply to my question. 

The Requisition is part of the standard form of requisitions that most Solicitors/Conveyancers send to the other side in a transaction after exchange of Contracts. I am surprised the NSW LRS or your team are unaware of this standard question. 

My question has not been answered but it is more of a legal one anyway so I do not see it being answered here. 

Thanks

P.S. I had tagged 'NSW' as a category.