What Is The General Power Of Attorney

A general durable power of attorney both authorizes someone to act in a wide range of legal and business matters and remains in effect even if you are incapacitated.

What is the general power of attorney. These powers include handling financial and business transactions buying life insurance settling claims operating business interests making gifts and employing professional help. Adobe pdf microsoft word docx open document text odt. A power of attorney poa or letter of attorney is a written authorization to represent or act on another s behalf in private affairs business or some other legal matter. The person authorizing the other to act is the principal grantor or donor of the power.

Not all powers of attorney are the same. A general durable power of attorney is a key part of estate planning. But it isn t suitable for a variety of important end of life decisions because of its lack of durability under duress. Power can be given to the agent to do any and all acts the principal can perform.

The principal may allow the agent to handle any type of monetary or financial related decision legally allowed by law. A general power of attorney becomes void if and when the principal either becomes incapacitated dies or if there is a date or event listed in the power of attorney that says so otherwise. A general power of attorney ends the moment you become incapacitated. A general power of attorney is a legal document whereby one person called the principal gives another person called the agent or attorney in fact the power to manage the principal s assets and financial affairs while the principal is alive.

It s an effective legal tool in any number of circumstances including helping shoulder the legal responsibilities of a loved one. The poa can take effect immediately or can become effective only if you are incapacitated. The document is also known as a durable power of attorney for finances. The one authorized to act is the agent attorney or in some common law jurisdictions the attorney in fact.

A general power of attorney allows a principal to elect a legal representative known as an agent or attorney in fact to handle their financial decisions on their behalf while alive and competent. In this article we ll discuss what a power of attorney is the difference between a special and a general power of attorney and whether you can make either power of attorney durable.