Written Power Of Attorney Can't Be Revoked Or Altered Through Oral Statements: Rajasthan High Court

The Rajasthan High Court has reiterated that a written power of attorney cannot be modified, altered or substituted by oral statements and the changes have to made in a written form only. Justice Rekha Borana in her order noted the respondent-plaintiff's contention that the power of attorney (POA) in favour of the petitioner was revoked/cancelled orally in 2022 and subsequently, in writing, vide notice dated 02.11.2023. Therefore, the plaintiff contended POA holder did not have any right to execute the sale deed in favour of defendant No.1 on 03.11.2023.To this the court said:"So far as the alleged oral revocation of the P/A in the month of January 2022 is concerned, this Court is of the clear opinion that the same, even if accepted, would be of no consequence. It is the settled position of law that a contract or disposition which is required to be in writing and has been reduced to writing, its terms cannot be modified or altered or substituted by oral contract or disposition.As held by Hon'ble the Apex Court in S. Saktivel (Dead) by LRs Vs. M. Venugopal Pillai & Ors.; (2000) 7 SCC 104, no parol evidence will be admissible to substantiate such an oral contract or disposition. A document which, for its validity or effectiveness is required by law to be in writing, no modification or alteration or substitution of such written document is permissible by parol evidence and it is only by another written document that the terms of earlier written document can be altered, rescinded or substituted"The respondent-plaintiff has filed a suit seeking cancellation of a sale deed and permanent injunction. In 2012 the plaintiff had entered into a development agreement and executed power of attorneys in favour of the petitioner Champa Devi and one Anil Kaushik (developers) , to convert his land from agricultural to residential use. The agreement specified that the developers would bear all the expenses and in return the 13 bighas out of total 27 would be transferred to them in lieu of consideration. In 2021 the plaintiff alleged that no development work had been undertaken and claimed that he had orally revoked the POA in January 2022. Meanwhile the petitioner executed a sale deed in favour of one Geegaram in October 2023. The plaintiff issued a formal registered notice of revocation of POA in November 2023. He challenged the sale deed, on the ground of it being a fraud, arguing it was executed despite oral revocation of POA. Petitioner moved an Order VII Rule 11 CPC application seeking rejection of plaintiff's suit which was rejected by trial court which was dismissed; against this petitioner moved high court. The high court noted that averments in the plaint made it crystal clear that the execution of POA by the plaintiff in favour of petitioner has not been disputed or denied. Rather, it is an admitted case of the plaintiff that both POA and development agreement were executed by him on 05.12.2012."It is also the settled position of law that if any right is transferred vide a written document, the revocation of such document also has to be in writing and such revocation/cancellation ought to be brought to the notice of the party in whose favour the right was sought to be transferred. In view of above settled position of law, the alleged oral revocation of P/A by the plaintiff can be of no consequence," the court held. The court also said that admittedly the sale deed by the petitioner was was executed on 31.10.2023. Thus, the observation made by the Trial Court that the sale deed was executed on 03.11.2023, is on the face of it, erroneous, the high court said. The court held that it was only the registration of the sale deed which was made on 03.11.2023. In that event, the sale deed executed on 31.10.2023 was perfectly valid as the POA had not been revoked and remained in existence till the said date, the court said. Calling the plaint a frivolous and vexatious litigation, the court allowed the petitioner's Order VII Rule 11 application and rejected the plaint. The petition was allowed. Case title: Smt. Champa Devi v/s Jogaram and Anr. S.B. Civil Revision Petition No. 45/2026Click Here To Read/Download Order

Written Power Of Attorney Can't Be Revoked Or Altered Through Oral Statements: Rajasthan High Court

Malavika Prasad

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