As of January 4th, the new Registry Qualification Guide issued by the Real Estate Registry came into forcé, which contains the new guidelines of the National Registry regarding Powers that are granted for real estate transactions. Among the main changes and to which more attention must be paid, there is everything related to the appearances that in acts and contracts are made through representatives, that is, through the granting of powers of attorney. In fact, in the new Guide, there is a whole section on this point.

Below, we detail three specific transcendental topics on the matter of appearances that are included in the new Guide:

1. Appearances acting through special powers: The new Qualification Guide indicates that the Notary must specifically provide the complete references of the special power of attorney, which must be written in a public deed. The Notary Public must indicate, as a minimum, the deed number, the time, and date of grant.

Within this point, it is important to clarify that, from now on, the Registry will not accept that the special powers to which the Notaries must attest are granted through Assemblies of Members or Shareholders. It is for this reason that the attestation of faith will not be admitted with a view to the protocolization of the minutes of assemblies.

2. The donation of goods by legal persons: According to what is established in article 1408 of the Civil Code, to donate an asset on behalf of a third party, it is necessary to have a special power of attorney. In the case of legal persons, the donation must be made through an authorization granted by its superior body, depending on the type of company. If we are talking about mercantile companies, the authorization to make the donation must be made through an agreement taken at an extraordinary general meeting of partners or shareholders. Whoever the Assembly authorizes for that act, must have the some type of representation, either general power of attorney or special power of attorney whose mandate must be granted in a public deed.

3. Special powers granted abroad: These type of powers may only be granted:
a. Before diplomatic or consular officials of the Republic of Costa Rica.
b. Before a Costa Rican Notary Public who is abroad.

There is only one exception to this rule, which is that special powers of attorney may be granted abroad before a foreign Notary Public, as long as the country where the power of attorney is granted has signed or is part of the Inter-American Convention on the Legal Regime of Powers of Attorney to be used abroad. Similarly, this power of attorney granted before a foreign Notary Public must be recorded in a public deed.

If you require more information about of the new guidelines of the National Registry regarding Powers that are granted for real estate transactions, ERP Lawyers puts its legal team at your disposal. Do not hesitate to contact us!