General power of attorney for a car - how to issue it

Today, people who have never encountered the purchase or sale of a car, at least indirectly, are quite rare. There are several ways to get the car you want.

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This is a purchase at a car dealership, a purchase at a car market using a purchase and sale agreement, and also receiving a car as a “gift” if someone enters into a gift agreement with you. There is another option to get behind the wheel of a car - to issue a so-called general power of attorney.

Why use a general power of attorney for a car with the right to sell?

Registration of a car is quite a troublesome and often problematic task, and it follows that quite often registering in this way is the only possible way to sell a car.

Let's consider these cases in a little more detail:

  1. This approach is often used as a way to simplify the registration procedure; no deregistration is required; the buyer will then do everything himself. However, you will agree that the method is quite dubious and raises a number of questions.
  2. This method of registration is very popular among the so-called “outbids”. Here the situation is much clearer, because in fact everyone knows perfectly well how their “business” works, and therefore unnecessary questions do not arise. The danger is that they can resell the car in exactly the same way, and from that moment a series of problems can begin.
  3. Cars with problematic documents. The most common is the so-called eternal registration, when it is simply not possible to re-register a car. In this case, using a general power of attorney is one of the few options.

Validity

The validity of the general power of attorney expires after three years from the date of signing by the notary. After this time, the documents for issuing a general power of attorney will have to be collected anew and re-executed. The power of attorney will terminate earlier in the following cases:

  • Refusal of a power of attorney.
  • By a court decision, both parties have lost their legal capacity or are missing.
  • Revocation of the power of attorney by the principal.
  • Death of the principal.
  • A trusted person has died.

If there is no trust period in the power of attorney, its validity is limited to one year. If a validity period of more than three years is indicated in the text, it is considered invalid. It can indicate the validity period you need, but no more than three years.

In the article, we examined in detail all the issues related to the preparation, execution and consequences of a purchase and sale transaction using a general power of attorney. They showed all the advantages and consequences of this decision. The choice is yours.

What rights are transferred under a general power of attorney?

It is better to trust the drafting of a document to a notary office, where it will be done more competently and without pitfalls.

Most often, when drawing up a power of attorney, the buyer receives the following rights:

  • The right to drive a vehicle.
  • The right to dispose of a car, including selling, exchanging, leasing, mortgaging, etc.
  • The right to carry out maintenance and control the technical condition of the vehicle.
  • An authorized person can actually act as a representative of the principal in various government agencies, for example, in court, police, traffic police, etc.
  • The right to carry out car insurance without any restrictions is also included.
  • The authorized person has the right to pay taxes and fines for the car.

It is also possible to trace a pattern according to which, after signing the documents and their certification, the buyer has obligations that, unfortunately, are not always fulfilled in good faith.

Differences between a power of attorney to drive a car and a general one

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A general power of attorney has a number of characteristic features:

  1. The document is drawn up only on a special form with an official seal and must be certified by a notary.
  2. Since a general power of attorney allows for the purchase, sale and exchange of a car, this document allows you to save on costs that are inevitable in such processes. We are talking about paying for re-registration, de-registration and registration procedures.
  3. The owner of a car can issue a general power of attorney to drive a car unilaterally: the presence of other persons when drawing up the power of attorney and notarizing it is not required.
  4. In the “general” it is impossible to simply indicate the fact of transfer of all powers to an authorized person. All actions that such a person can perform must be listed in detail (sale, the ability to travel abroad with this vehicle, act as the owner’s representative in court in the event of an accident, etc.).

You can familiarize yourself with the procedure for drawing up a power of attorney to drive a car, as well as download the necessary forms here.

How to issue a power of attorney for a car with the right to sell?

It is quite possible to draw up the document yourself, or you can contact a notary’s office. In both cases, notarization will be a mandatory condition that cannot be neglected.

To prevent confusion, the text indicates the passport details of the parties, information about the vehicle and, of course, prescribes all the actions that the power of attorney allows for with the car. The sale of the vehicle must also be separately agreed upon.

Required documents

To carry out the certification procedure, the following documents will be required:

  1. Vehicle owner's passport.
  2. Passport of the authorized person, in this paragraph it is allowed to use a copy.
  3. Vehicle registration certificate
  4. Vehicle Passport

Duration of validity of a general power of attorney

The maximum validity period of such a document is three years. However, in exceptional cases, its validity period may be terminated in advance. All of them are stipulated by current legislation and are not subject to challenge.

If the validity period of the document is not specified in the text, then the general power of attorney will be valid only for one year. If the specified period exceeds three years, then this document is automatically invalid and has no legal force.

Let's consider the options for premature termination of a document in more detail:

  • Revocation of a power of attorney by the principal. This can happen for various reasons, and when buying a car, this possibility is the greatest risk for the buyer.
  • Death of the owner of the car, and in this case, the principal. By the way, this applies not only to automobile powers of attorney, but to all powers of attorney in general.
  • Termination of a power of attorney on the initiative of the trustee
  • Death of a trusted person. Property used by power of attorney is not subject to inheritance.
  • The principal or proxy was declared missing or incapacitated by the court. In such a combination of circumstances, the property is also subject to return.

Cost of document preparation

The amount that will have to be spent on notarization of a power of attorney can also be different, for example, today the prices of notaries are as follows:

  • If the document was drawn up independently and the notary is only required to certify it, then such a procedure will cost 400 rubles.
  • Drawing up a power of attorney with a notary will cost 800 rubles for individuals and 1,200 rubles for legal entities, while certification will also cost 400 rubles.

Why do you need to issue a power of attorney for a car?

A power of attorney helps vehicle owners avoid unpleasant situations arising through the fault of the representative. For example, if a trusted person is stopped for a traffic violation, a fine will be issued in his name.

But if the car is caught on camera, the car owner will receive a fine. If the owner is able to challenge the fine, the person who was driving will pay.

If a representative gets into an accident and causes damage or harm to the health of the participants in the accident, he will be held accountable before the law. If there is no document, it will be difficult for the owner to prove non-involvement; the trial could last for years.

Also, the principal will have to be responsible for the legal problems of the car purchased by the representative under a power of attorney. For example, if a car is mortgaged and the previous owner does not pay off the debt, the bank will take it away from the current owner. That is, it is not the authorized person who bought the problem car who will be held accountable before the law, but the principal. Therefore, it is important to check the car you are purchasing before the inspection.

Here's an example. Hyundai Santa Fe is for sale in “new vehicle” condition.

We check the car through the avtocod.ru service and see several legal problems at once.

The car is listed as collateral. At the time of verification, there are two agreements with the bank.

There are also three prohibitions on registration actions. Because of them, the authorized person will not transfer the car to the principal. The principal will have to solve problems with restrictions - challenge, terminate the contract or withdraw it independently by paying other people's debts.

Plus, since September 2021, there have been 32 unpaid fines worth almost 19 thousand rubles.

Because of them, bailiffs can again impose restrictions on the car.

When receiving a power of attorney, the driver also bears risks. Within 10 days from the date of transfer of the power of attorney, he must be issued an MTPL policy. If a motor vehicle license is not issued, fines for its absence (800 rubles) will be paid by a trusted person. The principal will also have to restore the car and compensate for damage in the event of an accident at his own expense.

Also read: Renewing a driver’s license in 2021: detailed instructions

Possible risks when issuing a power of attorney for a car

Selling a car by proxy involves a large number of risks, both for the buyer and the seller, which is why, before carrying out such a transaction, you need to carefully weigh the pros and cons and make an informed decision.

Disadvantages for the seller

Due to the fact that there is no procedure for re-registration of the vehicle in the traffic police, the car still remains the property of the seller, which can lead to the following negative consequences:

  • If the buyer is not responsible and does not re-register the car in his name, the annual tax will be paid by the seller, since in fact the car is his property.
  • In the same case, if the vehicle is not re-registered in accordance with the current procedure, fines from the cameras will also be sent to the actual owner, and therefore, in case of an unscrupulous buyer, you should prepare for packs of “chain letters”.
  • In the event that the buyer continues to drive by proxy and commits an accident, or the car is found to be involved in other illegal actions, the first person to whom questions will arise is the owner. In this case, as a rule, there will be no liability for the seller, but a lot of time and nerves will have to be spent.

Disadvantages for the buyer

The buyer also risks putting himself at risk.

For example:

  • There is a fairly high probability of buying a car of dubious origin. In particular, the vehicle may be wanted, pledged, or the body number may simply be different than that indicated in the documents.
  • In the event of the owner's death, the power of attorney is considered invalid and the vehicle passes to the heirs
  • Also, a car that was sold by power of attorney may be jointly acquired property, which is subject to division in the event of a divorce.
  • If the seller has debts, then the bailiffs may completely seize the vehicle, because in fact, it is the property of the debtor.
  • The owner has the opportunity to revoke the power of attorney without giving reasons.
  • If the buyer dies, his relatives cannot claim the car as an inheritance, and the vehicle must be returned to the seller.

Sale

It is accepted that a general power of attorney is issued, replacing the official process of purchase and sale, speeding up and simplifying the process. We showed what documents are needed to formalize a general power of attorney and saw that this list is insignificant.

At the same time, you must understand that you have not removed the right to own the car. In case of problems arising with the operation of the machine by a trusted person, you will be held responsible. The person who received the power of attorney is not the owner of the car, but only manages it.

After the sale with the help of a power of attorney, fines and taxes may appear for the car. Documents for a general power of attorney for a car, easily collected instead of costly documents, when making an official purchase, will seem to you the worst decision of your life. After all, the car may be wanted for bail or theft. Engine and frame numbers may be altered. By revoking the power of attorney, the car will return to the previous owner. If he dies or gets divorced, the car will be automatically taken away from you.

If property problems arise with the previous owner, by court decision, bailiffs will come to you to arrest and confiscate the vehicle for debts. The choice to purchase a car through a general power of attorney or through a purchase and sale agreement is yours. On the one hand there are risks and on the other hand there is wasted time. What is more important to you?

How to cancel a general power of attorney?

Due to certain reasons, it is sometimes necessary to revoke a general power of attorney; it is worth taking a closer look at the procedure that will need to be carried out:

  1. First of all, you should contact a notary; if you still make a final decision, then be prepared that the cost of such a procedure will be more expensive than the cost of directly drawing up and executing the document.
  2. The peculiarity is that it is advisable to contact the same notary office where the document was registered, although another notary office may well be able to provide you with such a service. The difficulty lies in the fact that the notary who carried out the registration cancels the power of attorney in the register, and such a seemingly formality takes quite a decent amount of time, and this is often quite an important factor.
  3. After submitting an application to terminate the power of attorney, you should notify everyone who is affected by this document in one way or another. At the same time, you are not obliged to explain your actions; termination of the document is exclusively your right, which no one can influence. It is noteworthy that it is necessary to notify in a way that can later be easily proven in court, because the obligation to notify the trustee about the termination of the document lies with the principal, and not with the notary.

Rights

You can prepare the text of the power of attorney yourself, defining in it what rights you want to give to the person who will have it. You can contact a notary and they will help you with the text of the document. They will do it more competently there. The secretary will tell you what documents you need for a general power of attorney. The power of attorney will have legal force only after it is certified by a notary.

Typically, car owners have the right to:

  • Monitor technical condition.
  • Representations in courts, traffic police and other authorities.
  • Driving a car.
  • Insure the vehicle.
  • Dispose of a vehicle with the right to sell. Change. Give on security and for rent.
  • Pay fines, taxes and make other payments related to the vehicle.
  • We will consider in more detail later what documents are needed for a general power of attorney.
  • As practice shows, vested rights and the responsibilities arising from them are not always fulfilled by their owner.

Sample form of general power of attorney for a car

A general power of attorney for a car must be drawn up in writing and signed by the principal himself and directly by the notary who works with the document. The power of attorney must indicate the date and validity period of the power of attorney; you can familiarize yourself with the form below.

To summarize, I would like to note that from a legal point of view, completing a transaction using a general power of attorney is not the best option for both the seller and the buyer.

It is more advisable to conclude a standard purchase and sale agreement, under which the chances of getting into an unpleasant situation for both the buyer and the seller become significantly lower. However, in certain moments, the use of such legal action is beneficial, but at the same time, both the principal and the authorized person, as a rule, are not random people to each other, which reduces risks to a minimum.

Didn't find the answer to your question? Find out how to solve exactly your problem - call right now: +7 (Moscow) +7 (812) 309-53-42 (St. Petersburg) It's fast and free!

Free online consultation with a car lawyer

Didn't find the answer to your question? Find out how to solve exactly your problem - call right now: +7 (Moscow) +7 (812) 309-53-42 (St. Petersburg) It's fast and free!

Features of selling a car by proxy

A general power of attorney for a car is a kind of agreement between the seller of movable property and its purchaser, which is drawn up in the presence of a notary and certified by his signature. Unlike the standard procedure for re-registration of a vehicle, this document does not oblige the new owner of the car to deregister his vehicle. But in return, it puts forward specific conditions for each of the parties who completed the agreement:

  • For the seller - transfer ownership of the car to a third party, along with all related documentation;
  • For the buyer - to appropriate the vehicle for himself by paying its previous owner the amount agreed upon in the power of attorney.

According to standard regulations, the legal force of such an agreement is limited to one year.
But the parties to the transaction have every right to extend the document for an indefinite period by simply indicating this feature in the appropriate line of the form. Before concluding a general power of attorney for a car with the right to sell it further, the driver should learn about the hidden disadvantages of this procedure. There are four in total:

  1. If the movable property was not registered with the traffic police on time by the new owner, then the old owner can cancel the document, appropriating the vehicle for himself, leaving the buyer without money and without a car;
  2. In the event of the death of the vehicle purchaser, the ownership of the car is not inherited by his relatives. Instead, the car will return to its original owner;
  3. As a result of the death of the seller, the general power of attorney is canceled ahead of schedule and the vehicle specified in it automatically goes to the direct heirs of the deceased;
  4. The procedure for re-registration of a car, bypassing the State Traffic Inspectorate, is fraught with the fact that movable property does not pass the database check. And this increases the risk of purchasing a stolen or seized vehicle.

It is important to know! Among the characteristic advantages of the mentioned form, one can highlight only the speed of its preparation and the low cost of the procedure. What information should be contained in a general power of attorney for the sale of a car, and what package of documents is required to fill it out, we will find out below in the article.

Registration cost

Before you register a car in the name of an attorney, you still need to find out an important point: how much does a general power of attorney for a car cost? According to Art. 33.24 of the Tax Code, a state fee in the amount of 200 rubles is charged for registration.

In addition to the notarial fee, in different regions of Russia notaries charge a certain fee for technical work, and the amount for it is not regulated by law.

In practice, on average you need to pay from 1000 to 1500 rubles for registration of a power of attorney by a notary. Moreover, the cost of the power of attorney does not depend on the make or technical characteristics of the car or the term of the power of attorney.

General power of attorney instead of sale

It is necessary to distinguish between the sale of a car with the conclusion of a purchase and sale agreement by an authorized person, but on behalf of the principal, and the replacement of a purchase and sale transaction with a general power of attorney.

After all, if you agreed with the buyer on the sale of a car, gave him money for the car, and according to the documents you formalized this as a general power of attorney, then this can lead to negative consequences.

The fact is that previously selling a car by proxy was less expensive for the seller. However, everything changed after there was no longer a need to deregister a car when selling it.

In material terms, it is more profitable to issue a general power of attorney instead of a purchase and sale agreement; you will not need to register the car with the traffic police or pay taxes.

But in this case, it is necessary to take into account that under a general power of attorney you do not receive ownership of the car. You will only be the temporary owner of the car.

Risks of sale for the buyer

For the buyer, such a transaction is associated with other risks. Firstly, the owner of the car can revoke the general power of attorney at any time; as a result, the buyer will not receive either the car or his money back.

In the event of the death of the car owner (principal), the car will be transferred to his heirs, and the power of attorney is canceled automatically. If the buyer dies, the car does not pass to his heirs, but will remain with his seller.

Secondly, when purchasing a car by proxy, you must understand that in case of cancellation, the car can be taken away from you through the court, seizing the vehicle.

Even if the power of attorney has not been revoked, its term will be 3 years, and at the end of the period the seller may require the authorized person to return the car back.

Risks for the seller

The seller may also face unpleasant consequences when selling a car by proxy. The new owner of the car will not be able to register the car in his own name, so the seller will be responsible for paying transport tax.

And if re-registration with the traffic police has not been made to the new owner, then in case of violation of traffic rules and an accident, all fines will be sent to the seller.

If it happens that the new owner of the car commits an accident and starts hiding, then the seller, who remains the owner of the car, will be held accountable.

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