Why do you have to sign a POA?
In Israel, without a POA there can be no representation, meaning that a lawyer will not be able to do anything in your name without this document, not even send a letter on your behalf. The POA must be drafted in Hebrew and presented in Hebrew but under some circumstances it can be in English.
There are mainly 2 types of POA. The first is a general POA. A document giving your lawyer (making him/her your agent) legal power to represent you. This document can always be revoked or cancelled by you, or an “Irrevocable Power of Attorney” used for Real Estate deals (selling, buying properties).
The document must be signed in the presence of the lawyer. It cannot be signed by fax or any other way. The lawyer who is a co-signer of the document must be one of those you are giving the power to represent you to, therefore, if you want A to be your lawyer but you cannot come to him to sign, it is possible to send the POA to you, add another lawyer to the lawyer’s list in the document and sign in front of this same lawyer. It is not the perfect solution but doable.
Signing abroad (not in the Israeli Territory)
It is not possible to sign a legal document such as a POA, Affidavit, declaration etc. outside of Israeli Territory. Of course we are unique regarding the so called “occupied territories” where it is permissible to sign any document and we even have courts installed in such areas (as in Ariel, etc.).
An Embassy or a Consulate is considered part of the Israeli territory therefore a POA can be signed there but it is unclear whether the signature of the local consul is needed or not in this document.
An agent is the person who is authorized by another person (the principal) to deal with third parties (including the legal system) and has the power to enter binding contracts for the principal and also create liability for the principal.
Agents are either joint or several. When there are several agents each possesses the whole power.
In general, the authority of the agent is created either by deed, writing, by mere employment, according to the capacity of the parties, or the nature of the act to be done. It is, therefore, expressed or implied, but in Israel a written POA is imperative and even to represent a client with a simple letter, a power of attorney will be requested.
The Scope of the Power
A POA can be “general” or special with reference to its object, and according to whether it is confined to a single act or is extended to all acts connected with a particular employment. With reference to the manner of its execution, it is either limited or unlimited; i. e., the agent is bound by precise instructions, or left to use his own discretion.
It is the duty of an agent, to perform what he has undertaken in relation to his agency; to use all necessary care and to render an account.
The Agent Liability
If an agent harms another person while performing within the scope of his or her duties he will be held responsible.
The agent owes to his principal the unremitted exertions of his skill and ability and all his transactions in that character, shall be distinguished by punctuality, honor and integrity.
Agents are liable for their acts, to their principals and to third parties. The liabilities of agents to their principals arise from a violation of their duties and obligations to the principal, by exceeding their authority, by misconduct, or by any negligence or omission, or act by which the principal sustains a loss.