If you have ever had to act on behalf of another person before a bank, a company or the public administration, you have probably come across the word bastanteo (power verification). It is a legal term that, despite being common in everyday procedures, raises many questions: what does it mean exactly? Who carries it out? Is it compulsory?
Power verification is an essential procedure to guarantee that whoever claims to represent another person genuinely has the legal authority to do so. Without it, many legal and administrative transactions would be left in limbo, exposed to fraud or nullity.
In this article you will find a complete, practical guide to power verification: its definition, its usefulness, the different contexts in which it applies, the step-by-step procedure and the documents required. If you need personalised advice, at BBM Abogados, a firm with more than 30 years of experience in Santander, we are at your disposal.
What is power verification (bastanteo)? Meaning and banking context
Power verification (bastanteo) is the legal act whereby an authorised professional —usually an entity’s in-house legal adviser, a notary or a public administration lawyer— examines and carefully verifies that a power of attorney or other representation document is legally sufficient (“bastante”) for the specific commercial or financial purpose for which it is intended.
If you are wondering what banking power verification is in practice, it is the mandatory examination carried out by the legal departments of credit institutions to certify that a company’s representative has the powers needed to sign contracts, apply for finance or issue commercial guarantees on behalf of the company. At BBM Abogados, a firm specialising in Commercial Law in Santander, we take on the task of speeding up this verification process to ensure that your business transactions and the processing of your deeds do not suffer unnecessary delays.
What is the verification of powers of attorney?
The verification of powers of attorney is the most common form of bastanteo. In this case, the object of the verification is a power of attorney: a document formalised before a notary whereby one person (the grantor) authorises another (the representative) to act on their behalf.
It is not enough for a power of attorney to exist; that power must be sufficient for the specific act the representative wants to carry out. For example:
- A general power for litigation may not be sufficient to sign a mortgage.
- A power for acts of administration may not cover acts of disposal of assets.
The verification of powers of attorney analyses precisely this: whether the powers set out in the public deed of attorney are appropriate and sufficient for the specific procedure. It is not simply a check of the document’s authenticity, but a legal analysis of its content and scope.
The difference between power verification and a power of attorney
It is important not to confuse the two concepts:
- The power of attorney is the document that sets out the legal representation granted by the grantor to the representative.
- Power verification (bastanteo) is the subsequent act of checking, which certifies that the power of attorney is valid and sufficient for a given purpose.
The power of attorney is created by the notary; the verification is carried out by a legal adviser, a solicitor or the notary themselves at a different time and in a different context.
The difference between power verification and legalisation or apostille
Another common confusion is between power verification and the legalisation or apostille of documents. They are distinct concepts:
- The apostille or legalisation certifies the formal authenticity of a document so that it takes effect in another country.
- Power verification does not certify authenticity, but legal sufficiency: that the power of attorney is suitable for the act intended.
What is power verification for? Purpose and use cases
The purpose of power verification is to protect legal certainty for all parties involved in a transaction. It guarantees that:
- The representative really does have the powers to act on behalf of the grantor.
- The representation document has not expired or been revoked.
- The powers set out in the document are sufficient for the specific act.
The main use cases for power verification are:
- Banking transactions: opening accounts, applying for loans or signing contracts on behalf of a company.
- Public procurement: tenders and contracts with the authorities in which a person represents a company.
- Administrative procedures: filing documents, appeals or applications with public bodies on behalf of third parties.
- Property transactions: purchases, mortgages or leases signed by a representative.
- Court proceedings: the actions of a solicitor or court agent holding a power for litigation.
Who can carry out power verification?
Not just anyone can verify a document. The professionals authorised to do so are:
Notary
The notary can carry out power verification, especially in the context of private transactions. As a public officer of good faith, their involvement provides the highest legal guarantee.
In-house legal adviser or company solicitor
In the business and banking sphere, an entity’s in-house legal adviser is the professional who usually carries out power verification. They check that the power of attorney presented by whoever acts on behalf of a client or supplier is valid and sufficient.
Public administration lawyer
In the administrative sphere, power verification falls to the administration lawyer or the secretary general of the relevant public body. They are the ones who certify that the representative acting before the authorities has sufficient powers to do so.
State counsel or regional lawyer
In specific procedures involving the State or the autonomous regions, power verification may fall to the State Counsel (Abogado del Estado) or the lawyer of the regional legal services.
Types of power verification: banking, administrative and in public procurement
Power verification is not a single procedure: it adapts to the context in which it applies. There are three broad areas, each with its own particularities.
Banking power verification
Banking power verification is carried out by the financial institution when a customer acts through a representative. Before executing any transaction —opening an account, granting a loan, disbursing funds— the bank checks that the power of attorney presented is valid and sufficient.
In this context, power verification is also linked to KYB (Know Your Business) processes, which require financial institutions to identify and verify the representation structure of the companies they deal with, in compliance with anti-money-laundering rules.
A practical example: A company sends its finance director to open a current account. The bank will request verification of the power of attorney proving that this person is authorised to represent the company in banking transactions.
Administrative power verification
In the sphere of the public administration, power verification is the mechanism that checks that whoever files an application, appeal or any document on behalf of a third party is legally authorised to do so.
Many autonomous regions, town councils and state bodies require power verification as a prior condition for accepting representation in their procedures. In some cases, the body itself has a power-verification service with regulated fees.
Power verification in public procurement
In public procurement, power verification is especially relevant. When a company bids for a public contract through a representative, the contracting authority must check that the representative has sufficient powers to bind the company in that contract.
Law 9/2017 on Public Sector Contracts establishes the obligation to prove representation in tender procedures, and power verification is the instrument that certifies that representation.
How power verification is done: a step-by-step procedure
The verification process, although it may vary depending on the context, follows a well-defined general structure:
Step 1 — Identifying the need The representative realises they need to prove their representation before a bank, public body or company. The type of power of attorney needed is determined.
Step 2 — Obtaining the power of attorney If it does not exist, the grantor grants the power before a notary, by means of a public deed. If it already exists, an authorised copy is obtained.
Step 3 — Submitting the power of attorney for verification The power of attorney is submitted to the authorised professional (legal adviser, administration lawyer, notary) so that they can review it.
Step 4 — Legal analysis of the document The professional reviews:
- The identity of the grantor and the representative.
- Whether the power of attorney is in force (that it has not been revoked or expired).
- The scope of the powers conferred.
- Whether it is suitable for the specific act intended.
Step 5 — Issuing the verification If the power of attorney is sufficient, the professional issues a certificate or note of verification (diligencia) that formally certifies the sufficiency of the power. In the administrative sphere, it may take the form of an official decision or note.
Step 6 — Presenting it to the third party With the verification in hand, the representative can act before the bank, the administrative body or the company, which will accept their representation.
How long does the power verification process take?
In the private sphere (banking or business), power verification can be done in a few hours or days, depending on the complexity of the power of attorney and the legal adviser’s workload.
In the public administration, timescales vary depending on the body: some autonomous regions set resolution periods of 10 to 30 working days. It is advisable to arrange it well in advance.
“At BBM Abogados we defend the interests of individuals and businesses in Santander and Cantabria with a close, rigorous and fully transparent approach. If you have doubts about your case, we help you see it clearly.”
Documents required for power verification
The documents usually required to process a power verification are:
- An authorised copy of the public deed of the power of attorney (or a power granted in court — poder apud acta — in the judicial sphere).
- ID or passport of the representative and, in some cases, of the grantor.
- Documentation proving the company (if the grantor is a legal entity): incorporation deed, articles of association, tax number (CIF) and, where applicable, an up-to-date registry entry.
- A description of the act or procedure for which verification is requested (in the administrative sphere, it may be necessary to state it expressly).
- Application form (for procedures before the public administration).
- Proof of payment of fees (where applicable).
It is advisable always to provide up-to-date documentation, since changes in a company’s representation structure (new directors, amendment of articles) can affect the validity of the power of attorney.
Fees and costs of power verification
The cost of power verification varies depending on who carries it out and in what context:
- Notarial verification: their fees are governed by the notarial scale and depend on the complexity of the act.
- Administrative verification: many autonomous regions and public bodies have set official fees for the verification of powers of attorney. For example, the Community of Madrid, the Regional Government of Andalusia or the University of Málaga have specific fees published on their websites. These fees usually range between 30 and 150 euros, depending on the body and the type of power of attorney.
- Banking or private verification: it is generally carried out by the entity’s in-house legal adviser, at no direct cost to the client, although it may be built into the cost of the service.
- Free of charge in some cases: in certain public procedures, power verification may be free, especially where it involves representation in proceedings within the scope of legal aid.
Legal framework and regulation of power verification in Spain
Power verification does not have a single set of rules in Spain; instead, it is spread across various regulations depending on the field:
- Law 39/2015 of 1 October, on Common Administrative Procedure: governs representation before the public administration and how to prove it (articles 5 and 6).
- Law 9/2017 of 8 November, on Public Sector Contracts: establishes the obligation to prove representation in tenders and public contracts.
- The Notaries Act and the Notarial Regulations: govern notarial public authority and the authorisation of powers of attorney.
- Anti-money-laundering rules (Law 10/2010): in the banking sphere, the verification of corporate representation (KYB) forms part of due diligence obligations.
- Regional rules: each autonomous region may have its own rules on fees and procedures for administrative power verification.
The absence of a specific, unified law on power verification makes it especially advisable to have the support of a legal adviser who knows the rules applicable in each case.
Power verification in Santander: how BBM Abogados can help you
If you need to carry out a power verification in Santander or anywhere in Cantabria, at BBM Abogados we have more than 30 years of experience providing comprehensive legal advice to private individuals, the self-employed and businesses.
Our team of specialist solicitors can help you with:
- Reviewing and verifying powers of attorney for banking, property or business transactions.
- Preparing the documentation needed for procedures before the public administration of Cantabria and state bodies.
- Advice on public procurement: checking legal representation before taking part in tenders.
- Drafting and handling powers of attorney before a notary, tailored to the powers you actually need.
If you have any doubts about whether your power of attorney is sufficient for the procedure you need to carry out, or if the institution or authority has rejected a representation document, consult us with no obligation. We will analyse your case and advise you clearly and effectively.
Glossary of terms related to power verification
- Grantor (poderdante): the person who grants the power and confers the representation.
- Representative (apoderado): the person who receives the power and acts on behalf of the grantor.
- Public deed: the notarial document that formalises the granting of the power.
- Organic representation: the representation held by a company’s directors by virtue of their office, without the need for a specific power.
- Voluntary representation: representation expressly granted by means of a power of attorney.
- General power: a power that confers broad authority for all kinds of acts.
- Special power: a power limited to specific, defined acts.
- Revocation of the power: the act by which the grantor renders the power granted void.
Frequently asked questions about power verification
Does power verification expire? When does it need to be renewed?
Power verification itself does not expire, but it may cease to have effect if the power of attorney on which it was based is revoked, if the company’s representation structure changes (for example, if the director who granted the power leaves office) or if the grantor’s circumstances change (death, incapacity). Some administrative bodies require verifications no older than a set period (for example, no more than 6 months or 1 year old).
What happens if power verification is refused?
If the professional in charge of the verification concludes that the power of attorney is not sufficient, they will issue a negative report stating the reasons. In that case, the options are:
- Remedy the power of attorney: grant a new power before a notary with the powers that were missing.
- Clarify or extend the existing power by means of a supplementary deed.
- Appeal the refusal, if it occurs in the administrative sphere and is considered unjustified.
It is important to act quickly, especially in procedures with deadlines (tenders, administrative appeals).
Does electronic or digital power verification have the same validity?
Yes. Law 39/2015 recognises representation and its proof by electronic means. Some administrations have electronic registers of powers of attorney that allow representation to be proved digitally, without the need to submit physical documentation. The verification of these digital powers has full legal validity.
Frequently asked questions
Q: What does the word bastanteo mean? A: Bastanteo (power verification) is the legal term for the act of checking that a representation document —usually a power of attorney— is sufficient (“bastante”) for the purpose for which it is intended. It comes from the verb bastantear, which means to confirm that something is enough or sufficient. In practice, it is the formal check carried out by an authorised professional to certify that whoever acts on behalf of another person has sufficient legal powers to do so.
Q: What is power verification at a bank? A: Banking power verification is the process whereby the financial institution checks, through its legal adviser, that the power of attorney presented by whoever acts on behalf of a client is valid and sufficient for the intended transaction (opening an account, applying for a loan, disbursing funds, etc.). It also forms part of the KYB (Know Your Business) processes required by anti-money-laundering rules.
Q: What is document verification (bastanteo de documentos)? A: Document verification is the legal review and checking of any representation document —not only powers of attorney, but also court-granted powers (poderes apud acta), directors’ appointment records and others— to confirm that they are valid, in force and sufficient for the specific act or procedure they are intended for. The result of the verification is a certificate or note proving that sufficiency.
Q: What does the word bastantear mean? A: Bastantear means to examine and declare that a power of attorney or other representation document is legally sufficient for the purpose for which it is presented. It is the verb from which the noun bastanteo derives. When a legal adviser, an administration lawyer or a notary verifies (bastantea) a power of attorney, they are certifying that the document validly proves the representation claimed by whoever holds it.