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Relinquishing Rights for property purchase?

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wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Topic: Relinquishing Rights for property purchase?
    Posted: 01/November/2011 at 15:46
Hi there,

I'm no expert on law and I'd like some advice urgently. Sorry if I am unclear. The situation is as follows:

I am an Australian citizen, just a student (23 years old) and am currently on leave from my degree to study in Taiwan. I'm currently overseas, literally just minutes ago, out of the blue, I receive an e-mail from my father who really doesn't speak to me all that often. He says he has decided to purchase a home and urgently needs me to sign documents to authorize him to purchase the home on my behalf.

Sounds nice, but my father isn't the generous type and of course I will have an 80% loan on the 350k property under my name. So no, he isn't buying it for me. What he is trying to say I think is that this home is a good investment and will thus help me buy it.

He claims the home is a bargain (and by the looks of the price and location, it's a reasonable buy). Problem is, my dad is a sly business man and I think he is trying to bring more benefit to himself here than to me, and I think it this may show in the nature of the document he has asked me to sign.

Anyway, he has sent me an e-mail with a document attached requesting I sign them and return them to him asap. The returned documents will enable him to purchase the home on my behalf (I also think the document grants him even more powers too, which is the area I seek advice).

Being no expert in law, I get the feeling me signing this document will grant my father a lot of power over my personal affairs.

Bottom line is this: If the home is a good buy, I don't mind purchasing the home and paying the loan. But this has all just come to me in just the last 30 minutes and he is really pushing me to sign and do it in a flash. I just want to be fully informed what I am getting into.



Why am I concerned?

-I don't know how signing this document will effect my future affairs
-How it will effect my current assets and future investments
-I don't even know the details of the loan and how much of it I will be laible for
-My brother and I also are the beneficiaries of a property that was purchased by my parents, I was told the agreement under the trust stipulates that once we turn 21 we can then manage the trust. However, this is another area that is in shade, as my father still appears to be controlling this property. I also don't know if this document my father has asked me to sign will influence my right over this other property.

Please have a look at the document below (changed names and addresses for obvious reasons):


-----
POWER OF ATTORNEY


KNOWN ALL MEN BY THESE PRESENTS that I Ms Sarah X (This is me) of 2000 Bolingsby Street TESTON NSW 2987 business person, revoke all previous power of attorneys granted and HEREBY APPOINT MY FATHER MR. Larry X (father) of 212/5 Badham Street Dickso NSW 2122;

To act for me in every respect as fully and effectually as I could act in person concerning all my present and future property rights and interest in the Commonwealth of Australia. I place in the unfettered control and discretion of my said attorney with authority to bind me in relation thereto in any manner whatsoever including (but without prejudice to the generality of the foregoing authority) power to buy, take on a lease, rent or otherwise acquire or sell, convey, let or otherwise dispose of and create mortgages of and charges, to give, vary and revoke instructions as to the above, deal with bank and other authorities and for all and any purposes to sign, seal, deliver and execute and do all deeds, transfers, documents, acts and things as effectually as I myself could do if personally present, and to employ and remunerate bankers, brokers, lawyers, accountants and agents.

AND I HEREBY DECLARE

(1) that I purposely refrain from further particularizing the description of my affairs and my property rights and interests and the powers conferred lest by so doing I should be deemed to limit the intended operation of this instrument as a full and general power of attorney:

(2) that this instrument be conclusively binding on me and my personal representatives in favour of third parties who have not received notice of the revocation thereof, but so that the exercised by me in person from time to time of any of the powers hereby conferred shall not of itself be deemed to be a revocation.

IN WITNESS HEREOF I have hereunto set my hands this    01      day of November 2011

SIGNED SEALED AND DELIVERED BY )
Ms Sarah X



in the presence of:              


WITNESS

Mr Larry X
Registered Tax Agent and Accountant


Thanks for your advice.


wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 01/November/2011 at 15:50
Another thing, is it possible I could modify the document so that it is not so wide, and that it merely only means my father can act on my behalf strictly in relation to the said property he wishes to help me buy?

Perhaps this would be less broad and more safe?

wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 01/November/2011 at 15:53
Also what kind of questions should I be asking my father and related parties concerning the loan, property and delegation?

QuoVadis View Drop Down
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  Quote QuoVadis Quote  Post ReplyReply Direct Link To This Post Posted: 01/November/2011 at 17:31
Sorry mate, too long to read. Suggest you go to a real property solicitor.
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AsiaOilDude View Drop Down
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  Quote AsiaOilDude Quote  Post ReplyReply Direct Link To This Post Posted: 01/November/2011 at 19:28
Don't sign. I only had to read the power of attorney part to understand he is working a long play scam. What he is really trying to do is gain all control over your financial affairs, essentially a type of ID theft, in order to apply for loans (for his own use), get credit cards in your name (which you are liable for) that he can use etc.... Just say "Dad, I'm really committed to my studies and I need to focus on that. Please do as you wish but I can't be involved" and STOP answering him. You need to realize that parents who do this a sociopaths and more common than you think. Using your child's name to commit fraud is common in the USA (less so in Oz) but incredibly destructive for your future.
Not legal advice. Personal opinion only. Seek legal advice from qualified personnel only.

MartinO View Drop Down
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  Quote MartinO Quote  Post ReplyReply Direct Link To This Post Posted: 01/November/2011 at 21:11
If you don't want it don't sign, if you have provided your father with a Power of Attorney, revoke it right away.

No one can force you into a loan agreement, even if it is to purchase a bargain.
I am NOT a lawyer. Anything said is NOT legal advice.

Please post your legal questions in a forum rather than sending a PM. Thanks.

wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 01/November/2011 at 22:24
Thanks folks for your legal advice. I haven't signed anything yet, just talking to folks about the said document. I really think it is disrespectful of my father to push something like this on me out of the blue without much discussion or consideration.

An investment like this needs to be communicated clearly. Lucky I am not the type to get sucked in and sign things willy nilly.

Any further advice would be appreciated.



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  Quote MartinO Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 00:32
Check with your father about this, and get a second opinion, perhaps from a registered valuer. It is always possible that your father has your bests interests at heart and has found something that he believe will be of benefit to you.
I am NOT a lawyer. Anything said is NOT legal advice.

Please post your legal questions in a forum rather than sending a PM. Thanks.

wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 00:37
I replied my father's e-mail:

Hi Papa,

At the moment, I am doing 80 hour weeks and work and study is really my focus right now. I'm quite busy and more tired than I've ever been before, but I'm in good spirits.

About the home, I know you want this done very quickly but I really can't enter or be involved with such an agreement right now. The delegation papers are so broad and an investment of this magnitude really need to be thoroughly communicated and contemplated. An e-mail of just a few lines just doesn't cut it when it comes to something like this.

If the property truly is a good buy, please send all the details to X (my agent). If in the next few days I decide it's a good buy, by all means, I'll sign the required loan papers and all related documentation given they specifically relate to the said property. But aside from that, I'm really just not comfortable with giving someone all the powers to act on my behalf in every respect.

Hope you understand.

(you may stop reading from this point onwards, next part is irrelevant, but pasted it for your reading enjoyment).


Aside from that, my time in Taiwan has been fruitful. I've met with some extraordinary people that have been a real inspiration to me. For example, a few weeks ago I met with the CEO of eBay Taiwan and through her I was invited to a private Nokia event. At the Nokia event, they showcased the benefits of NFC technology (near field communication) in their next generation phones. I also met some really cool people at the event including some of the core designers behind Nokia, Apple, HTC and Samsung products. You know how I love gadgets and tech, so I'm sure you can imagine how thrilled I was.

I think Taiwan is full of opportunities both job and investment wise. If one of those opportunities should appear before me, I may choose to stay even longer!

Regards,

MartinO View Drop Down
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  Quote MartinO Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 00:42
Great letter, hope it's received in the spirit it was sent.

All the best, hope this works out.
I am NOT a lawyer. Anything said is NOT legal advice.

Please post your legal questions in a forum rather than sending a PM. Thanks.

AsiaOilDude View Drop Down
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  Quote AsiaOilDude Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 00:52
He'll ramp up the pressure before he goes away. No disrespect to your father but something is up and he doesn't care how he gets what he needs. Does he have a gambling problem or some other issue that needs a lot of money quickly? The absolute first sign of a con being made is the pressure put on you to close the deal quickly. The second is that this deal is only for you. The third is that there will never be another time like this. Do you see the pattern? It has just occurred to me that your father may not be running the con but indeed be a tool of the man running the con (i.e. a third party), saving your father from of con is a good thing.
Not legal advice. Personal opinion only. Seek legal advice from qualified personnel only.

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  Quote jaazzz Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 08:42


wajubalo.... Glad you have decided not to sign.

The only clause missing from that POA was the one that said he owns your soul for eternity.

As AOD said, look out for further pressure.

Any opinion given should not be accepted as legal advice.

Please post your legal questions in a forum rather than sending a PM. Thanks

wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 14:55
Yeah, the pressure has already ramped up. *sigh* His now ranting and raving how his disappointed in me and so upset that I asked him to send details to X. If he was always an upstanding individual that never lied, I should have more trust in my father. But since he is not, I think it's fair to be reluctant to sign such an agreement.

I can live without this house, and to me him communicating properly and just being a good old man is worth a lot more than a free house in my opinion.

AsiaOilDude View Drop Down
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  Quote AsiaOilDude Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 16:25
I sincerely hope he doesn't try to forge your signature. (Note likely as a POA needs witnesses and notarization from memory).
Not legal advice. Personal opinion only. Seek legal advice from qualified personnel only.

wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 22:06
This seriously has spiraled into chaos and has really strained my relationship with my dad and grandparents, who hear only my father's twisted side of the tale -_-" Pressure has ramped up ten fold and it's taking a toll on my mental state. Here in Taiwan, I've got a ton on my plate already, really don't need this extra crap.


Sorry, just wanted to let some steam out here. Thanks for listening.

And yes, he has been known to forge signatures in the past. But I think it's quite clear that I am in Taiwan and it would be very easy to prove I wasn't present to sign.

Give me a break.

AsiaOilDude View Drop Down
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  Quote AsiaOilDude Quote  Post ReplyReply Direct Link To This Post Posted: 02/November/2011 at 22:17
It's outright coercion. If it's such a great deal why can't he sell it to someone else? OF course he can't, that's not the point. What he wants is for you to borrow money in your name that he can get his paws on.
Not legal advice. Personal opinion only. Seek legal advice from qualified personnel only.

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  Quote MartinO Quote  Post ReplyReply Direct Link To This Post Posted: 03/November/2011 at 01:06
Originally posted by wajubalo

he has been known to forge signatures in the past.

If that is the case I believe you should be proactive, and contact the sellers agent and advise that the property has been suggested to you, but you do not wish to purchase it neither have you authorised anyone to purchase it for you, and you revoke any PoAs that may be presented by anyone seeking to purchase the property on your behalf.

If you do not know who the agent is, send a copy to every agent in that area.
I am NOT a lawyer. Anything said is NOT legal advice.

Please post your legal questions in a forum rather than sending a PM. Thanks.

wajubalo View Drop Down
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  Quote wajubalo Quote  Post ReplyReply Direct Link To This Post Posted: 03/November/2011 at 04:36
Send e-mail to agent.

Dear X,

This is Sarah X. I have only just heard about this purchase arrangement only days ago as suggested by my father. I'm overseas at the moment, and know next to nothing about the property, its location or value. Until I receive more information to allow me to actually consider a purchase, let alone understand what's going on, I want to make it clear that for the time being, I have not made any decision to purchase the property in question, nor have I authorized anyone to purchase it for me, and I revoke any PoAs that may be presented by anyone seeking to purchase the property on my behalf.

Please alert me if anyone approaches you with a PoA bearing my name as any such document would have been forged.

I also request that this e-mail be kept confidential from my father, Mr X, and anyone else for that matter.

Thanks for your understanding.

Kind regards,

Ms X

MartinO View Drop Down
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  Quote MartinO Quote  Post ReplyReply Direct Link To This Post Posted: 03/November/2011 at 10:01
Great, should do the trick, hope you have no further problems.
I am NOT a lawyer. Anything said is NOT legal advice.

Please post your legal questions in a forum rather than sending a PM. Thanks.

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