Power of attorney — a document that grants a physical or legal person the right to represent the interests of another citizen or company. This document endures the attorney-in-fact with specific authorities. For instance, a power of attorney drawn up in the name of a real estate agency representative guarantees them the right to represent the investor's interests in transactions related to the purchase of residential and commercial property.

In the UAE, the principal must be over 21 years old, and this person must be of sound mind. Foreign business owners using a power of attorney certified in another country must compile and translate the document into Arabic. We will discuss how to do this later on. UAE law does not permit irrevocable or indefinite powers of attorney.

There are two main categories of power of attorney in the UAE - general and special. You should know the difference between these two categories to use each one correctly.

1. In a general power of attorney, the attorney-in-fact has broad powers, including the right to make decisions and act on general, legal, and business matters concerning the principal. It is usually used for purchasing real estate, setting up a business, and representing interests before state authorities. However, this document is not suitable for selling vehicles, real estate, or company shares in the UAE.

2. A special power of attorney is more specific. It can be limited to either a specific transaction, or have a limited duration and scope over a specific issue. A special power of attorney can be issued for selling vehicles, real estate, or shares in companies. Typically, this type of power of attorney is sufficient to perform the required task and poses less risk to the principal. If in doubt, choose a special and not a general power of attorney, as it is a safer option.

Ways to arrange a power of attorney in the UAE

It should be noted that not all organisations work with persons representing a citizen's interests under a power of attorney. For example, many UAE banks refuse to open accounts and provide information on available funds to an authorised representative. This circumstance must be taken into account when drafting the text of the power of attorney.

To minimise risks, it is recommended to clarify the list of actions that the authorised representative can perform with a representative of the specific state body. Ideally, the principal should show them the draft of the power of attorney and make sure that such wording will be accepted for consideration.

A power of attorney can be arranged in three ways:

1. Within the territory of the UAE;

2. Outside its territory, by holding an online conference with a notary public;

3. Through the legalization procedure of a power of attorney issued outside the UAE.

In the first case, the document is drawn up by a notary public. Before booking an appointment with this specialist, the principal must decide on the person who will represent their interests. The notary public will only draft a power of attorney for a person of sound mind who is over 21 years old.
The attorney-in-fact does not have to be present when arranging the power of attorney in the UAE. In this situation, only the personal presence of the principal and a copy of the passport of the person being granted the specific scope of authority are required.

If certification of a document is required for actions performed outside the UAE or in respect of property abroad (e.g. in the RF), this can be done through the consular missions of the respective countries in the UAE. In the case of documents for the RF, the process works as follows:

• The text of the power of attorney (or consent) is drafted and uploaded

• to the notary portal of the consular section of the Russian Embassy;

• Personal documents of the person issuing the power of attorney,

• their personal data, and copies of the documents of the persons

• being granted the authority are uploaded to the same portal;

• Once the text is approved by the consulate, the state fee

• is paid and the date and time for the certification appointment

• are scheduled;

• The processing time for the finished document is 1-3 working days.

In other jurisdictions, the process may differ slightly, but generally, it involves prior agreement on the text of the document, then payment of fees, and a personal appearance at the institution for certification.

If you decide to use the second method and arrange a power of attorney outside the UAE, in order for this document to have legal force within the Emirates, you must:

• draft the text of the power of attorney and agree it with a notary public;

• certify the power of attorney before a notary public either in person or online (via video-link);

• for certification via online conference, the principal must attend this conference with their passport.

Emirati legislation does not contain strict restrictions regarding the nationality of the attorney-in-fact. Not only residents but also citizens of other countries can represent the interests of the principal.

The third method - legalization of a power of attorney - involves certain complexities. The UAE is not a party to the 1961 Hague Apostille Convention.
As a result, all official documents issued abroad must go through the full procedure of consular legalization, which includes the obligation to:

• prepare the power of attorney and translate it into Arabic and English;

• certify the document at the Ministry of Foreign Affairs and the Ministry of Justice in the country where the power of attorney was issued;

• certify the document at the UAE embassy/consulate;

• submit the document to the Ministry of Foreign Affairs (MOFA) in the UAE. It verifies the fulfillment of the three above sections and certifies the document.

After this, the document becomes legally valid for use in the UAE.

It should also be noted that a power of attorney issued outside the UAE is recommended to be pre-approved (before starting the legalization process) with the authority with which it will be used, to avoid unnecessary expenses on the legalization procedure.

Stages of arranging a power of attorney in the Emirates

A power of attorney issued in Dubai or any other emirate does not need to be legalized: this document is already drawn up in compliance with local legislation requirements.

In practice, powers of attorney legalized outside of the UAE may not be accepted by local government bodies.

Main stages of arranging a notarised power of attorney:

• Book an available date and time with a notary public;

• Agree on the text of the power of attorney in advance via email or through a specialized centre;

• Appear at the designated date and time at the notary's office or conduct a video call with the notary public to verify the principal's identity;

• Issue the power of attorney in paper or electronic format.

What documents need to be prepared

The contents of the document package depend on the type of power of attorney. In most cases, the principal needs to prepare:

• the text of the power of attorney, agreed in a specialized centre, with a notary, or with the organization where the document will be presented;

• the principal's original passport, copies of all its pages, and Emirate ID if available;

• a copy of the attorney-in-fact's passport and ID if available;

• state fee for the preparation and notarisation of the power of attorney;

• company registration documents (if the documents are available in digital format with a readable QR code, providing original documents is not required);

• documents confirming ownership of the property, if the power of attorney is issued for the disposal and transfer of this property.

If certification of a document is required for actions performed outside the UAE or in respect of property abroad (e.g. in the RF), this can be done through the consular missions of the respective countries in the UAE.
In the case of documents for the RF, the process works as follows:

• The text of the power of attorney (or consent) is drafted and uploaded to the notary portal of the consular section of the Russian Embassy;

• Personal documents of the person issuing the power of attorney, their personal data, and copies of the documents of the persons being granted the authority are uploaded to the same portal;

• Once the text is approved by the consulate, the state fee is paid and the date and time for the certification appointment are scheduled;

• The processing time for the finished document is 1-3 working days.

In other jurisdictions, the process may differ slightly, but generally, it involves prior agreement on the text of the document, then payment of fees, and a personal appearance at the institution for certification.

Nuances and timeframe of arranging a power of attorney

The timeframe for arranging a power of attorney is 1-2 working days, including the agreement of the text.

Like all official documents in the UAE, powers of attorney must be drafted in Arabic. However, as a rule, for foreign clients, notaries prepare powers of attorney in two languages - Arabic and English in a single document.

If you wish to clarify any questions regarding the arrangement of a power of attorney and minimize risks associated with the receiving organization refusing to comply with the document requirements, please contact our company's specialists.

The qualified team at Make Fortune will not only explain the most important nuances of arranging a power of attorney in the UAE but will also personally handle the complete support of this process.