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Under a plain power of attorney the donor is capable but unavailable

A worked RES examination question on powers of attorney and wills, from our Paper 1 bank — with the rule it turns on, and why each of the four options is right or wrong.

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The question

An owner is abroad on a long posting and cannot attend to sign the papers for the sale of his house, though he is in good health and has himself decided to sell. He appoints his brother to act for him in Singapore.

Which statement is correct?

  1. A. The brother may decide whether and at what price to sell, standing in the owner's place.
  2. B. The brother may sell only with the written approval of the buyer's solicitor first.
  3. C. The brother may do nothing until the owner returns, an absent owner suspending the sale.
  4. D. The brother may sign the documents, but the decision to sell remains the owner's own.

The answer, and why

Answer: D

The rule. Under a plain power of attorney the donor is capable but unavailable. The donee may sign the documents; the decision whether and at what price to sell stays with the owner.

Why D is correct. The brother may sign, but the decision to sell remains the owner's.

The other options.

  • A gives the brother the decision.
  • C suspends the sale until the owner returns, when signing is exactly what the power of attorney enables in his absence.
  • B invents a buyer's-solicitor approval.

Exam note. A plain power of attorney conveys the pen, not the judgement. The owner still decides; the donee only signs.

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