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As a matter of Principal, for Revocation of a Power of Attorney, the Service of Proper Notice to the Attorney is mandatory --- Lahore High Court, Lahore

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As a matter of Principal, for Revocation of a Power of Attorney, the Service of Proper Notice to the Attorney is mandatory --- Lahore High Court, Lahore

Islamabad 13-09-2024: In a significant ruling, the Lahore High Court, Rawalpindi Bench, dismissed a revision petition filed by Syed Monis Raza and others, who had challenged the property transfer made by their sister, Mst. Asia Bano, through a general power of attorney allegedly revoked by their late father. The Court upheld the lower appellate Court’s decision, emphasizing the petitioners’ failure to prove timely revocation of the power of attorney and the undue delay in challenging the transfer.

The petitioners had filed a suit seeking the cancellation of mutation No. 387, related to land measuring 11 kanals and 17 marlas, which was transferred by their sister, Asia Bano, in favor of her husband in 2001. They argued that their deceased father had revoked the general power of attorney granted to their sister before the property was transferred, making the mutation fraudulent. However, they only filed the suit in 2009, eight years after the transaction.

Mr. Justice Muhammad Sajid Mehmood Sethi dismissed the petition, ruling that the petitioners had failed to provide sufficient evidence that their father had informed Asia Bano of the revocation of the power of attorney. The Court pointed out that under Sections 202 and 206 of the Contract Act, 1872, the principal is required to give proper notice of revocation to the attorney, which was not proven in this case.

Moreover, the Court observed that the petitioners had no justification for the eight-year delay in filing the suit. The delay invoked the legal principles of waiver, estoppel, and acquiescence, barring the petitioners from seeking relief. The Court noted that the petitioners’ father had not challenged the transfer during his lifetime, despite knowing about it.

The Court stressed that for a revocation of a power of attorney to be valid, it must be communicated to the attorney, as per the Contract Act. In this case, the alleged revocation was not properly notified.

The petitioners’ eight-year delay in challenging the mutation was deemed fatal to their case, as it allowed rights to accrue in favor of the respondents.

The petitioners were unable to provide convincing evidence to prove their claim that the power of attorney was revoked and that the respondent was informed of the revocation.

The Court relied on several past rulings, including:

Fida Muhammad Vs. Pir Muhammad Khan (PLD 1985 SC 341)

Fayyaz-Ul-Haq Vs. Ghulam Nabi (2022 MLD 688)

Abdul Haq Vs. Mst. Surrya Begum (2002 SCMR 1330)

The Lahore High Court dismissed the revision petition, affirming that the petitioners’ failure to challenge the transfer within a reasonable time, and their inability to prove the revocation of the power of attorney, left them without a valid legal claim. The decision highlights the importance of timely legal action and the need to follow proper procedures in revoking powers of attorney.