ANNEXURE I LETTER of ACCEPTANCE to Be Furnished on the Form

Understanding the Draft of Letter of Authority

The draft of letter of authority by the borrower to deliver jewellery to another person is a formal document that grants permission for one individual to act on behalf of another in the transfer of valuable items. This letter is essential for ensuring that the transaction is legally recognized and that the borrower’s intent is clearly communicated. It outlines the specifics of the transfer, including the details of the jewellery, the parties involved, and the duration of the authority granted.

Key Elements of the Letter

When drafting this letter, several key elements should be included to ensure its effectiveness:

• Borrower’s Information: Full name, address, and contact details of the borrower.
• Recipient’s Information: Full name, address, and contact details of the person receiving the jewellery.
• Description of Jewellery: A detailed description of the jewellery being transferred, including any identifying features or appraisals.
• Duration of Authority: Specify the time frame during which the authority is valid.
• Signature: The borrower’s signature, along with the date of signing, to validate the document.

Steps to Complete the Draft

Completing the draft of letter of authority involves several straightforward steps:

1. Gather the necessary information about both the borrower and the recipient.
2. Clearly describe the jewellery, including any relevant details that establish ownership.
3. Draft the letter, ensuring all key elements are included.
4. Review the document for accuracy and completeness.
5. Sign and date the letter, ensuring it is ready for delivery.

Legal Use of the Letter

This letter serves as a legal document that can protect the interests of both the borrower and the recipient. It is advisable to keep a copy of the letter for personal records. In case of disputes or misunderstandings, having a signed letter can provide clarity and support in legal matters. It is also recommended to consult with a legal professional to ensure compliance with any specific state laws regarding the transfer of valuable items.

Examples of Usage

There are various scenarios where a draft of letter of authority may be utilized:

• A borrower who needs to send jewellery to a family member for safekeeping.
• A situation where the borrower is unable to be present for a transaction and authorizes another person to complete it.
• Transfer of jewellery for appraisal or repair, where the borrower grants authority to a jeweller or appraiser.

Required Documents

In addition to the draft of letter of authority, other documents may be required to facilitate the transfer of jewellery. These can include:

• A copy of the borrower’s identification to verify identity.
• Any relevant receipts or appraisals that establish ownership and value of the jewellery.
• Documentation of the recipient’s identification, if necessary, to ensure proper transfer.