A power of attorney (POA) is a legal document that delegates authority from one person to another person. In the document, the maker of the power of attorney (known as the principal) grants the right to act on the principal’s behalf as that person’s agent. What type of authority is granted depends on the specific language of the document and the goals of the principal.
The principal may make the document very broad and give great powers to the agent, or they may limit it to certain specific acts. A POA may be used to give another the right to sell a car, a home, or other property. It may also be used to allow another to access bank accounts, sign a contract, make health care decisions, or sign legal documents for the principal. The possibilities are endless, as a power of attorney may give others the right to do almost any legal act that the maker of the POA could do, including the ability to create trusts and make gifts.
A POA must be signed by the principal and by two witnesses, as well as a notary. Military powers of attorney and powers of attorney created under the laws of another state may have exceptions to that rule.
All adults should have a power of attorney in the event of their incapacitation. If you do not have one, or need yours revised, contact a lawyer today. A power of attorney should always be drafted by a lawyer because pre-printed forms or forms found online may fail to provide the protection desired, or fail to achieve the goals of the principal.