Notarization Fee for Special Power of Attorney (SPA) in the Philippines

In the Philippines, a Special Power of Attorney (SPA) is a legal document that grants an individual (the agent or attorney-in-fact) the authority to act on behalf of another person (the principal) for specific, limited actions or transactions. It is often used for matters such as managing real estate transactions, handling financial matters, or representing someone in legal proceedings. The SPA must be notarized in order to be legally recognized, and this notarization process comes with certain fees. Below is a comprehensive guide to the notarization fee for SPA in the Philippine context.

1. What is Notarization?

Notarization is the process of certifying the authenticity of a document. In the case of a Special Power of Attorney, notarization serves as proof that the document was signed by the principal, either in the presence of a notary public or through the principal’s acknowledgment of the document before the notary. The notary public affirms that the principal is of sound mind and is executing the SPA voluntarily.

A notarized SPA is important because it adds credibility and evidentiary value to the document. Without notarization, the document may be considered invalid or inadmissible in court.

2. Legal Basis for Notarization of SPA

The need for notarization in the Philippines is governed by the Notarial Law (Republic Act No. 863), as well as the Civil Code of the Philippines. Notarized documents are given greater legal weight, particularly when it comes to transactions with third parties or in legal proceedings.

The Civil Code of the Philippines, particularly Article 1868, mentions that a Special Power of Attorney must be in writing. While notarization is not strictly required for the validity of an SPA, in practice, notarization is generally required for the document to be effective for many legal and business purposes, including financial transactions, real estate dealings, and court proceedings.

3. Notarization Process for SPA in the Philippines

The process of notarizing an SPA typically follows these steps:

Drafting of the SPA: The document is prepared by the principal or their representative. It includes the details of the agent’s powers and the specific authority granted.
Acknowledgment before a Notary Public: The principal appears before the notary public to acknowledge the SPA. The notary public verifies the identity of the principal, confirms that they are signing the document voluntarily, and ensures they understand the document's contents.
Signing the SPA: After the principal's acknowledgment, they sign the SPA in the presence of the notary public.
Notary Public’s Certification: The notary public then affixes their seal to the document, certifying that the SPA has been signed by the principal and that the notarization process was conducted properly.

4. Notarization Fee for SPA

In the Philippines, the notarization fee for a Special Power of Attorney is not fixed by law. Instead, it is set by individual notaries public. However, there are guidelines that notaries must follow when determining their fees.

Fee Range:

The fee for notarizing an SPA typically ranges from ₱100 to ₱500 per document.
Some notaries may charge a flat fee per page, while others may base their fees on the complexity of the document or the nature of the transaction being authorized by the SPA.

5. Factors Affecting the Notarization Fee

The notarial fee can vary based on the following factors:

Location: Notarization fees in urban areas like Metro Manila tend to be higher compared to rural areas due to the higher cost of living and the demand for notarial services.
Complexity: If the SPA is particularly complex (for example, if it involves a series of powers or legal matters that require additional legal expertise), the notary public may charge a higher fee.
Additional Services: Some notaries offer additional services, such as drafting the SPA for you. These services are typically charged separately from the notarization fee.
Number of Signatories: If multiple parties need to sign the SPA, the notary public may charge additional fees per signatory.
Document Length: Some notaries charge per page, especially if the SPA is lengthy or involves attachments that must be notarized separately.

6. Importance of Notarization

Notarization is important for several reasons:

Authenticity: It ensures the document is legitimate, with no doubts about the identity of the principal or the voluntary nature of the signature.
Legal Recognition: A notarized SPA is widely accepted in both private and government transactions. It is more likely to be recognized by financial institutions, real estate firms, government agencies, and the courts.
Preventing Fraud: Notarization helps prevent fraud or disputes over the legitimacy of the document. It ensures that the principal is acting with full knowledge of the consequences of granting powers to the agent.

7. Additional Considerations

Revocation of SPA: A Special Power of Attorney can be revoked by the principal at any time, provided that the revocation is done in writing and, ideally, notarized as well. Notarization helps ensure that third parties are aware that the powers previously granted by the SPA are no longer valid.
Validity of SPA: An SPA remains valid until the principal revokes it or until the purpose of the SPA is accomplished. If the SPA is used for a specific transaction, once the transaction is completed, the power granted may expire.
Other Documents: If the SPA is related to a transaction involving real property, it might need additional legal forms of acknowledgment, such as registration with the Register of Deeds. This ensures that the agent’s authority is recognized in property dealings.

8. Alternatives to Notarization

In some cases, notarization of an SPA may not be strictly required, such as in informal transactions or where specific legal formalities are not needed. However, notarization is strongly recommended in most circumstances for the sake of legal clarity and protection.

If notarization is not feasible due to geographic or logistical reasons, an authenticated SPA from the Philippine Consulate abroad (for overseas Filipinos) may serve as an alternative, ensuring that the document holds legal weight in the Philippines.

Conclusion

Notarizing a Special Power of Attorney in the Philippines is a key step in ensuring that the document holds legal value, especially in transactions requiring third-party recognition. While the notarization fee is not fixed and can vary depending on several factors, it is essential to consider the importance of notarization in safeguarding the legitimacy of the document. When having an SPA notarized, ensure that the notary public is duly accredited and recognized under Philippine law to avoid issues later on.