Powers of Attorney: Exploring Their Meanings

Power of attorney is only viable if you, as the legal principal, cannot make these decisions yourself - either due to disability or any other incapacitation. Generally, a power of attorney can be nullified after:

• The principal withdraws from the agreement
• The death of the legal principal
• A court order declares the document inadmissible

Different types of powers of attorney will serve different needs and differ in terms of authority extended to the agent. Therefore, you need to understand the kind of agreements that you can choose depending on your needs.

For instance, medical power of attorney will only deal with decisions about your health, while a general agreement only applies to legal and other fiscal matters. To be safe, you may consider combining more than two powers of attorney for estate planning. Here are four types of powers of attorney and their specific legal guidelines.

General power of attorney gives the agent extensive control over your responsibilities. Here, your legal agent can make decisions that would typically be yours to make, including:

• Settling bills
• Purchasing and selling off property
• Signing contracts
• Performing financial transactions

Your legal advisor might suggest using general power of attorney for only a short time, especially if you're temporarily unable to handle things on your own. A good example would be when you've traveled abroad and might be unable to make some decisions in person.

General power of attorney is nullified if you either become incapacitated or pass on. You can also revoke the agreement anytime you feel the need to.

As mentioned earlier, medical power of attorney gives the agent control over your healthcare decisions. You can choose the agreement if you're battling a life-threatening condition.

Generally, the principal might be too sick to decide on their preferred choice of medical care. The agent can then decide on the treatment, medical care, and end-of-life care options available for you. On the document, you can include your preferred options to guide both your agent and physician when the time comes.

The presiding doctor can then sign off on the document and allow your agent to make medical decisions about your health. Before settling on an agent, you'll need to first talk to your legal counsel. They can help you understand your legal rights as you decide what to include in the directive.

A durable power of attorney takes effect once you sign the agreement. Although the agreement might take a limited or general approach, rules state that your agent will still be in authority after you're incapacitated.

For instance, if you're mentally or physically indisposed, your agent will take over your financial and medical decisions. They can do so even after you're unable to communicate your wishes. The agreement automatically concludes after your death or if you decide to withdraw while you can still communicate.

Unless you make your power of attorney durable, the agent's authority will be nullified once you're declared incompetent or incapacitated. Also, you'll have nobody to stand on your behalf once you're incapacitated. In such a case, the court might have to choose a guardian for you in case of legal proceedings.

Deciding on a type of power of attorney requires you to think over your options carefully. Having reliable legal counsel on your side is very important. Should you have any concerns about your legal obligations, be sure to contact Donald B. Linsky & Associate PA.