I Year B.B.A., LL.

B – Semester-2 (2020)

2nd - Internal Assessment

Special Contracts

Drafting of Agency Contract

NAME: Leon Mathew

DIVISION: C

PRN: 20010126297

COURSE: BBA LL.B. (H)

 SPECIAL POWER OF ATTORNEY

TO ALL TO WHOM THESE PRESENTS SHALL COME: I, Miss Neha (Age: 30 years,
residing at: New York, USA) SEND GREETINGS:

WHEREAS:

A. Miss Neha is the owner of a Bungalow in Lucknow, India on 5th Avenue, Plot no 17.

B. Miss Neha intends to enter into an agreement with Naveen to rent the said property to
prospective tenants as she is living outside of India and thus is not in a position to take
all necessary steps and actions to rent the Said Property to prospective tenants in her
name, therefore hereby appoints, nominates and constitutes Mr. Naveen, to be her true
and lawful attorney to do the several act/s and things required to be done as stated
hereafter and which the said attorney has agreed to do.

NOW IT IS HEREBY STATED THAT Miss Neha does hereby nominate, constitute and
appoint Mr. Naveen (Age: 45 years, residing at Lucknow, India, Andheri Street) to be her
true and lawful Attorney and to do several act/s, deeds and things in connection with the Said
Property, in her name and on her behalf. This agreement is executed on 17 th June, 2021
between Miss Neha (principal) (Hereinafter called the Principal), of one part and Mr. Naveen
(Agent) (Hereinafter called the Agent) of the other part.
Whereby it is agreed between the parties as follows:
1. That Neha is the principal and has appointed Naveen who is the Agent to rent her
property in Lucknow to prospective tenants.
2. That every Prospective tenant that the agent encounters has to be approved by the
principal before renting the property.
3. That the agent cannot rent the said property to a particular tenant for more than 2
weeks at a time without the express approval of the principal.
4. That the agent is authorized to do perform every lawful act necessary in order to
protect and maintain the said property of the principal.
5. That the rent money to be paid by the tenant would be decided by the principal and
not the agent.
6. That the agent would have the authority to collect the rent money on the principal’s
behalf and send it to the principal.
7. That the agent is not authorized to employ another individual to perform the acts
which he has expressly or impliedly undertaken to perform personally.
8. That the agent will keep a record of all rent money collected and regularly remit to the
principal on each Saturday all sums received by the agent in respect of rent money
received.
9. That the agent shall, at the expense of the principal, take on rent and occupy for the
purpose of the agency, suitable premises with prior approval of the principal and shall
keep insured for full value against all available risks, the said property entrusted to his
custody by the principal under this agreement and on request, shall produce to the
principal, receipts, for the rent, rates and taxes of the said premises and for the
premiums on insurance policies showing that the same have been paid on or about
their respective due dates. That the agent shall bear all expenses relating to or
incidental to the said agency.
10. That in the event of any dispute arising between the agent and the tenant regarding the
rent money to be paid or period of stay in the property, the agent shall immediately
inform the principal of the same and shall not without the principal’s approval or
consent in writing take any legal proceedings in respect of or compromise such
dispute.
11. That the principal may terminate this agreement at her option at any time after the
expiration of 5 years by giving the agent one month’s notice in writing.
12. That the benefits under this agreement shall not be assignable to any other person.
13. That the agent shall always, during the existence of this agreement, devote his whole
business time and energy to the aforementioned duties of the agent and shall in all
such dealings act honestly and faithfully to the principal and shall carry out orders and
instructions and shall not engage or be interested either directly or indirectly as agent
or servant in any other business or trade without the prior consent in writing of the
principal.
14. That without prejudice to any other remedy he may have against the agent for any
breach or non-performance of any part of this agreement, the principal shall have the
right summarily to terminate this agreement:

(i) On the agent being found guilty of a breach of its provisions or being guilty of
 Misconduct or negligence of his duties or fraud, or

(ii) On the agent absenting himself from his duties entrusted to him under this agreement for
5 days or more without the principal’s prior permission in writing.
15. That in the event of any dispute arising out of or in relation to or touching upon the
agreement, the same shall be decided by arbitration in accordance with the provisions
of the Arbitration and Conciliation Act, 1996 by the Arbitrator appointed with mutual
consent.

1. The award of the Arbitrator shall be final, conclusive and binding upon the Parties,
and the provisions of the Indian Arbitration and Conciliation Act, 1996 shall
apply.

2. The rights and obligations of the Parties under, or pursuant to, this Clause,
including the arbitration agreement in this Clause, shall be governed by and be
subject to Indian law, and the agreement shall be subject to the exclusive
jurisdiction of the courts at Lucknow.

16. That the principal shall be entitled to terminate this agreement by one month’s notice
in writing to the agent in the event of his ceasing to carry on the said duties of the
agent.
17. That on the termination of this agreement for whatever reason, the agent shall
forthwith deliver to the principle all the rent money in possession of the agent in
respect of the said property.
18. That the Agreement constitutes the entire agreement and understanding between the
Parties to this Agreement and supersedes all prior communications, contracts, or
agreements between these Parties with respect to the subject matter addressed in this
Agreement, whether oral or written.
19. That if any part of this agreement is declared unenforceable or invalid, the remainder
of the agreement will continue to be valid and enforceable.
20. That when an act is done by the agent on behalf of the principal but without his
knowledge and outside of the scope of authority given to the agent, then such an act
will be deemed to be disowned by the principal subject to ratification.
21. That Ratification of such unauthorized acts have to be expressly stated either in
written or oral.
22. The agent must act conduct business according to the directions stated by the
principal and in the absence of such directions, according to the custom which
prevails in doing business of the same kind at the place where the agent conducts such
 business. When the agent acts otherwise, he would be responsible for loss sustained
and must provide compensation to the principal.
23. The agent must perform his duties with as much skill and reasonable diligence as one
would expect from a person engaged in similar business.
24. It is the duty of the agent to communicate with the principal in case of difficulty in
conduct of his duties in respect of this agreement.
25. That when the agent deals with the business of his agency on his own account without
the knowledge of the principal, the principal shall have claim over the benefit
received from this transaction.
26. That when the agent is guilty of misconduct in the performance of his duties, he shall
not be entitled to any remuneration with respect to such misconduct.

AND GENERALLY in terms of the aforesaid to execute and perform any other acts, deeds,
matters and things which ought to be done or performed in this regard so as to give effect to
the terms of this power of attorney as well as effectively carry out his duties as an agent of
the principal.

AND IT IS HEREBY ratified and confirmed all whatsoever the agent shall do or cause to be
done in or about or concerning the matters and things mentioned hereinabove.

It is clarified that this Power of Attorney is for convenience and not for consideration.
IN WITNESS WHEREOF I have signed on 17th June 2021 at New York.

Signed by the above named

Miss Neha

__________________ __________________ __________________

Signature Left thumb impression Photo

I accept the powers given herein

By the above named
Mr. Naveen

__________________ __________________ __________________

Signature Left thumb impression Photo

WITNESSES:

Witness 1: Witness 2:

Name: __________________ Name: __________________

Address: __________________ Address: __________________

Signature: __________________ Signature: __________________