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What is Power of Attorney (POA)?

• A Power of Attorney is a legal document that grants someone the authority to act on behalf of another person, typically in financial or legal matters.

Who is the “Principal” and the “Agent” in a Power of Attorney?

• The person granting the authority is the “Principal,” and the person receiving the authority is the “Agent” or “Attorney-in-Fact.”

What types of Power of Attorney are there?

• There are different types of POA, including General Power of Attorney (covers a broad range of powers), Limited or Special Power of Attorney (specific and limited powers), and Durable Power of Attorney (remains effective even if the Principal becomes incapacitated).

When does a Power of Attorney become effective?

• A Power of Attorney can be effective immediately upon signing (immediate POA) or become effective at a specified future date or upon the occurrence of a particular event (springing POA).

How can a Power of Attorney be revoked?

• The Principal can revoke a POA at any time, as long as they are mentally competent. Revocation typically involves notifying the Agent in writing.

Can a Power of Attorney make medical decisions?

• Generally, a Power of Attorney for Health Care or Healthcare Proxy is used for medical decision-making. However, some general POAs may include healthcare powers as well.

Is a Power of Attorney valid across state lines?

• The rules for POAs vary by jurisdiction. In many cases, a POA that is validly executed in one state will be recognized in another, but there may be differences, so it’s advisable to consult with legal professionals.

Can more than one person be appointed as an Agent?

• Yes, a Principal can appoint more than one Agent. They can specify whether Agents can act independently or if they must act together (jointly).

How long does the Power of Attorney last?

• The duration of a POA depends on the type. A General Power of Attorney may end if the Principal becomes incapacitated unless it’s a Durable Power of Attorney, which remains effective. Some POAs have specific end dates or conditions.

Can a Power of Attorney be challenged?

• Yes, a Power of Attorney can be challenged if there are concerns about the Principal’s competence at the time of signing, evidence of fraud or undue influence, or if the document doesn’t meet legal requirements.