Power of Attorney
In order to participate in a group land buy at Fruit Haven, you will need to be represented legally. This is not only for the purchase of the property, but for many important administrative tasks. We use the same template POA document for everybody, and it is only valid within Ecuador - it does not give power to represent you in any other countries. The document is a "special power," which has a set list of powers, as opposed to a "general power," which gives power to do pretty much anything on your behalf. The special power document lists exactly what we can do on your behalf, and anything not listed, power has not been granted for.
In granting a power of attorney, you are the principal, and the person you are granting it to is the attorney-in-fact. In Spanish, you are the mandante or poderdante, and the attorney-in-fact is the mandatario or apoderado.
The power of attorney document has 21 clauses and is of indefinite duration (since we will need to retain these powers for administering the property on your behalf.) These are the English translations of the clauses, for your reference. The bold+italic text explains the purpose of the power being granted.
- Acquire in Ecuador any legal title, all kinds of movable and immovable property, rights and shares, participations. - The power to buy goods and land in the name of the principal
- Buy and exchange movable and immovable property, rights and shares, participations, cancel all types of encumbrances, mortgage and others that weigh on the real and personal property of the principal. - The power to buy and exchange goods and land, shares, and cancel personal debts etc., which is to say if you got a lien on the property from a personal court case against you, we have the right to pay it off / settle it in your name.
- To proceed to make the respective public deed of acceptance of purchase and sale of real estate, rights and actions, singular, hereditary etc. - To make public titles/deeds for above-mentioned properties, to accept purchases.
- To sell and transfer the properties and rights and actions of the goods and real estate of the principal - To sell goods and properties. This is necessary in case you want to sell in the future, and also to satisfy the clause in the Trustee Legal Contract that allows us to force someone to sell their land (and give them the money, of course) if they end up being extremely problematic / mentally ill / etc. This is also necessary for seed investors because they initially receive a higher % ownership for the land-only purchase, and later their percentage is adjusted to reflect their investment in the development fund as other people buy in. Note that it is ILLEGAL for us to simply sell property without your permission or legal justification (e.g. trustee legal contract.) This is a crime called "abuse of confidence." A power attorney is not a license to do anything without repercussion, and we take this role very seriously.
- Administer all movable and immovable property, rights and singular actions on present and future properties owned or acquired by the principal. - To administer the property on your behalf, and to administer movable properties aka tools, vehicle, etc.
- Subscribe lease contracts, pay rent fees and create payment receipts for rentals - Allows us to manage rental of rooms in the community house if that becomes an option, also allows us to manage you renting tools or other equipment for projects such as the construction of your house on your PHL.
- Receive money or deposit in any capacity, accepting it or constituting a mortgage, pledge or other actions - Allows us to receive money on your behalf. Also allows us to incur debt or contractual pledges on your behalf, which is necessary because the trustee legal contract has a clause specifying the amount you are obligated to invest in the property development fund, and also has clauses with fines for various transgressions in the property, for example cutting down hardwood trees in the reserve area. In order to sign a contract in your name agreeing to pay for property development or pay fines, the power to incur debts/pledges is necessary.
- Judicially or extra-judicially charge or receive all the credits owed, receive the money or securities that collect, give receipts, grant cancellations and settlements. - Allows us to manage payments, receive payments, issue receipts on your behalf, etc. Basically another clause saying that we can manage your funds.
- Carry out before the Internal Revenue Service all the procedures required by the principal. - This allows us to get the tax certificate from the SRI required for property purchases of foreigners.
- Write checks, drafts, bills of exchange, promissory notes and in general all those documents that constitute executive titles, charges, endorse or protest - Similar to last 2 clauses.
- Intervene in any commercial, industrial, agricultural or mining business and in all that is permitted by the Ecuadorian laws. - To do business on your behalf, in our case it would be mostly agricultural, and occasionally commercial if we are renting rooms in community house or accepting payments from volunteers.
- Sign public deeds and celebrate all kinds of contracts in accordance with Ecuadorian laws. - We can sign the trustee legal contract / community contract on your behalf.
- For sale and perpetual alienation of movable property, such as vehicles owned by the principal, in addition to prohibiting sale and recovering the possession of movable and immovable property. - We can sell your movable property such as vehicles and tools. For example, if we buy a quad for the property, then a couple years later decide to sell it to buy a different quad. Also we can prohibit the sale or recover seized/impounded items.
- In the case of horizontal property, authorize the purchase of rights and shares in the land and more common goods of the condominium/cooperative, also authorize the mortgage of the share of the common property or acquired premises, so that it adheres to the internal regulations of co-ownership or the collective or civil society and / or community and is subject to the regulation of horizontal property, collective or civil society or community dictated by the executive. - Horizontal property is any property where the owners separately own portions of the property and then together own other portions of the property. This clause gives us power to administer and modify this setup as necessary. Including the signing of the community contract which includes the maps specifying the personal homestead lots and community areas.
- Carry out the necessary procedures for the construction, modification, extension of the building owned by the client, request, obtain the respective permits for this purpose. - No explanation necessary
- To sign all kinds of public deeds. - Basically a repeat of several other clauses.
- Hire employees or workers, terminate or terminate employment contracts, pay, settle, request good views, sign settlement documents, sign transaction records, affiliate in the Ecuadorian Social Security Institute of Ecuador to workers and employees and perform all the relevant procedures. - Hiring and and administering workers to carry out work in the community areas or on your PHL.
- Constitute or grant transit easements, aqueducts in real estate and real property rights of the principal, confer rights of way etc. - Transit easements would be, for example, giving FH3 and FH6 owners the right to use the access trail that crosses FH2. Or, giving community residents the right to use an access trail that goes through a PHL. It also refers to water, electric, and other utility easements. Or, giving neighbors the right to use a certain trail to get to their properties.
- Confer permission (s) and / or authorization (s) to other (s) co-owner (s), condominium (s), comunero (s) that do not have the Ecuadorian nationality to use any property to comply with the requirements that are necessary to obtain Legal Residency Visas in Ecuador. - No explanation necessary
- To represent the principal in any type of proceeding by appearing as an representative or defendant, presenting or answering lawsuits, attend Preliminary or Trial Hearings, go to the mediation and arbitration centers, announce, request and practice all the tests and interpose the resources contemplated by the Ecuadorian laws, including the cassation, so that in the referred trials pass or reach judicial or extrajudicial agreements; also authorizing the agent to sign any document required by the case. In accordance with the provisions of Art. 41, 42 of the General Organic Code of Processes, the agent is empowered to carry out all the inherent procedures until the conclusion of said trials. - We can represent you legally if someone were to open a court case against you and you weren't in the country.
- Special Clause: In accordance with the provisions of Article 43 of the General Organic Code of Processes, the principal by means of this special clause confers on his agent the following powers: To institute the procurement in favor of another professional, to demand, compromise, desist from action or recourse, approve agreements, acquit positions, defer the decision oath, receive values or the thing on which to see the litigation or take possession of it. For the execution of this power the agent is authorized to hire the professional services of a lawyer (a) in free exercise of the profession to represent the principal in all proceedings before the judicial authorities of Ecuador, leaving the lawyer appointed as quality of the Judicial Procurator, in accordance with the provisions of the corresponding laws. The Power of Attorney confers all powers of judicial procurement constants in articles forty-one and forty-three of the General Organic Code of Processes, including those of delegating all or part of this power to any other person or a Lawyer for the purpose of Judicial Procurement, especially those typified in articles forty-one and forty-three of said legal body, so that it is not the lack of authorization that obstructs the faithful fulfillment of this mandate. Whoever acts as attorney-in-fact of an attorney-in-fact is obliged, in his execution, to comply with the disposition typified in article forty-three of the General Organic Code of Processes. - This allows us to hire a lawyer on your behalf in case someone were to open a court case against you and you weren't in the country. It specifically allows us to grant the powers in this document to the lawyer, to the extent necessary for the legal proceedings. It is limited in that it doesn't allows us to grant these powers to anyone else for any reason other than legal proceedings. NOTE: Some of you may receive a newer version of this document where there are only 20 clauses, and this clause is included after the clause listing in a section called CLAUSULA ESPECIAL. Aside from that the powers listed are the same.