A Special Power of Attorney (SPA) grants an individual the legal authority to act on your behalf. However, there are situations in which you may choose to revoke this power. Revoking a SPA is an important legal step that ensures your wishes are upheld and your interests remain protected.
What is a Special Power of Attorney (SPA)?
A Special Power of Attorney (SPA) is a legal document that grants an individual the authority to act on your behalf for a specific purpose or transaction. Unlike a General Power of Attorney (GPA), which allows broad authority, a SPA is limited to specific actions or decisions outlined in the document. This type of document is commonly used when an individual is unavailable or unable to manage particular tasks, such as executing contracts, selling property, managing finances, or handling legal proceedings.
Who Can Execute a Special Power of Attorney (SPA)?
In the Philippines, a Special Power of Attorney (SPA) can be obtained from a lawyer or a notary public. To secure a SPA, the individual must have the legal capacity and sign the document in the presence of a lawyer or a notary. Additionally, any legally competent individual aged eighteen (18) years old and above can act as the principal in a SPA. The appointed attorney-in-fact must be mentally sound and capable of performing the specified tasks. Both the principal and attorney-in-fact must also provide consent to the terms outlined in the document. Moreover, individuals who are mentally incapacitated, minors, and under legal guardianship are not eligible to be appointed as an attorney-in-fact under a SPA.
What is the Validity Period of a Special Power of Attorney (SPA)?
The validity period of a Special Power of Attorney (SPA) depends on the terms and conditions specified in the document. Its duration can vary, ranging from several months to years, based on the agreement between the parties. Therefore, it is crucial to ensure that the terms and conditions are clear to prevent any misunderstandings and conflicts in the future.
What are the Grounds for Revocation of Special Power of Attorney (SPA)?
In the Philippines, a Special Power of Attorney (SPA) can be revoked due to the following reasons:
- Issuance of a New SPA. The principal can revoke a SPA by issuing a new SPA that appoints a different attorney-in-fact or agent for the same matters covered by the original SPA. This is to prevent any conflicts between the new document and the previous one.
- Completion of the Purpose. A SPA will be automatically terminated once the specific tasks or purpose for which it was granted is completed.
- Death or Incapacity. According to Article 1919 of the Civil Code, a SPA is automatically revoked upon the death, incapacity, or insolvency of either the principal or the attorney-in-fact.
- Mutual Agreement. The principal and the agent may mutually agree to terminate the SPA, which formally revokes the agent’s authority. This requires a clear communication between both parties to prevent any legal issues.
- Change of Mind. A SPA may be revoked if the principal has second thoughts about the person they have appointed as attorney-in-fact or agent, or if the power of attorney is no longer necessary. In this case, the authority granted to the attorney-in-fact is effectively revoked as well.
How to Revoke a Special Power of Attorney (SPA)?
The revocation process of a SPA can differ based on the provisions outlined in the original document. However, here is the general process in the Philippines:
- Notify the Attorney-in-Fact. The principal must notify the attorney-in-fact or agent about the revocation.
- Notify the Third Parties. All relevant parties involved, such as financial institutions and other institutions where the agent had authority, must be informed of the revocation.
- Notarization of Revocation Document. A formal revocation document is required. In the document, the principal must clearly state the reason for the revocation. More importantly, the document must be signed and notarized by a lawyer or a notary public to ensure its legal validity.
- File the Revocation Document. The revocation must be filed with the same entity where the original SPA was registered, especially in cases involving real property.
Sample of Revocation of Special Power of Attorney (SPA) in the Philippines
Need further information and assistance regarding Revocation of Special Power of Attorney (SPA)? Talk to our team at Duran & Duran-Schulze Law to know more about the requirements and process. Call us today at (+632) 8478 5826 or +63 917 194 0482, or send an email to info@duranschulze.com for more information.
