What is a
Power of Attorney?
A
Power of Attorney is a legal instrument that is used to designate legal
authority to another. The person who signs (executes) a Power of Attorney is
called the "Principal". The
Power of Attorney gives legal authority to another person called an
"Attorney-in-Fact" to make property, financial and other legal decisions for
the Principal.
A Principal can give an "Attorney-in-Fact"
broad legal authority, or very limited authority. The Power of Attorney is frequently used to help in the event of a
Principal's illness or incapacitation, or in legal transactions where the
principal cannot be present to sign necessary legal documents.
Are there different types of
Power of Attorney ?
There
are "Nondurable ," "Durable," and "Springing"
Power of Attorney. A "Nondurable"
Power of Attorney takes effect immediately. It remains in effect until
it is revoked by the Principal, or until the Principal becomes mentally
incompetent or dies.
"Nondurable" Power of Attorney
A "Nondurable"
Power of Attorney is often used for a specific transaction, like the
closing on your home sale, or the handling of the Principal's financial
matters while the Principal is traveling outside of their residing country.
"Durable"
Power of Attorney
A "Durable"
Power of Attorney allows the Agent to act for the Principal even after
the Principal is not mentally competent or physically able to make
decisions. The "Durable"
Power of Attorney may be used immediately, and is effective until it is
revoked by the Principal, or until the Principal's death.
"Springing"
Power of Attorney
A "Springing"
Power of Attorney becomes effective at a future time. That is, it
"springs up" upon the happenings of a specific event chosen by the
Power of Attorney. Often that event is the illness or disability of the
Principal.
The "Springing"
Power of Attorney will frequently provide that the Principal's physician
determine whether the Principal is mentally competent to handle their
financial affairs. A "Springing"
Power of Attorney remains in effect until the Principal's death, or
until revoked by a court.
To learn more about
Power of Attorney, follow the web links below to review information
that will enable you to make the right decision.
GET STARTED (POWER OF ATTORNEY)
Click Here
Law Library - Introduction to Power of Attorney
Click Here
Law Library - Authorities for Durable Power of Attorney
Click Here
Power of Attorney in 3 Easy Steps!
Click Here
Law Library - Ending a Power of Attorney
Click Here
