Why do we do Hagbah, and does the congregation have to stand for Hagbah?
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Taken from HALACHICALLY SPEAKING
It's generally considered respectful for the congregation to stand whenever the Torah is out but not "at rest." When it's sitting on the bima; when it's being held by someone seated (e.g. during the haftorah reading); and when it's in the Aron are all situations where it's "at rest." When it's being picked up it's not "at rest", so it's appropriate to stand for it.
And yes, everyone should be able to see the Torah.
The reason we do Hagbah is to show the congregation what parsha we are reading. For this reason, the Sephardi minhag of doing Hagbah BEFORE reading makes far more sense. Sephardim also point to exactly where we are going to read.
(Note - I am Ashkenaz)