A power of attorney is a very powerful tool that is indispensable in the right circumstances. However, the potential for serious misuse exists if the wrong person is given that degree of control. Before deciding if a power of attorney is needed, it’s important to understand more about this legal document.
A power of attorney (POA) gives someone the power to act on behalf of another in all circumstances or only in specifically defined matters. It’s very important to think carefully before giving someone the power to decide matters concerning your health or finances.
There are Four Kinds of Powers of Attorney
General
A general POA gives all of the rights to someone else that are possessed by the grantor, or the person granting the rights. This agent will be able to conduct financial transactions, pay bills and sign documents. A general power of attorney would be appropriate for someone who needs assistance but is not incapacitated. A general POA ends with the incapacitation or death of the grantor or when the grantor decides to rescind, or cancel, the POA.
Limited
If a POA is needed for a specific purpose for a limited time, this will give that person the legal right to act as an agent for a single purpose. For example, a legal document may need to be signed on a specific day, but it is impossible to be there to sign it in person. A limited POA would permit someone else to sign the document in your behalf and has a specified expiration date.
Durable
A durable POA can be either limited or general in power. The important distinction is that a durable POA remains in effect after the grantor becomes incapacitated. Someone who was diagnosed with a serious illness, for example, should consider giving a durable POA to a trusted family member, friend or another person. This can be rescinded before the grantor becomes incapacitated.
Springing
A springing POA does not go into effect, or “spring,” until someone becomes incapacitated. It is important that how “incapacity” is defined be clearly spelled out in the document as this will be the triggering mechanism.
Instead of signing a do-it-yourself POA, discuss your unique situation with a Family Lawyer in Hillsboro MO. Contact Wegmann Law Firm for experienced legal advice. This skilled Family Lawyer in Hillsboro MO has been AV rated since 1976.
