power of attorney who is the grantor

The person who is authorizing the power of attorney is called the grantor

, while the person who is authorized to act is known as the agent or the attorney-in-fact. A power of attorney becomes void if the grantor dies or if the attorney-in-fact is proven to be incapable of handling the affairs properly.

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How to grant a power of attorney?

Nov 18, 2013 · By granting a POA, the grantor/principal authorizes the grantee/agent (sometime referred to as an attorney-in-fact) the legal right to make decisions on his or her behalf. In Kentucky, a POA is...

What is power of attorney and how does it work?

Power of attorney is a legal document with which you can authorize someone to act on your behalf. The person giving the authority is called ‘grantor’. The person who will act on behalf of the grantor is called as ‘agent’. Another term for the agent …

Can a power of attorney deed property to himself?

A POA is a legal document in which a “grantor” (also referred to as a “principal” or “donor”) assigns specific powers over their affairs to an “attorney-in-fact” (also called an “agent”). Through the POA, the attorney-in-fact is authorized to act on the grantor’s behalf in …

Can a power of attorney give away property?

The person who is authorizing the power of attorney is called the grantor, while the person who is authorized to act is known as the agent or the attorney-in-fact. A power of attorney becomes void if the grantor dies or if the attorney-in-fact is proven …

What happens to a power of attorney when the grantor dies?

Under the common law, a power of attorney becomes ineffective if its grantor dies or becomes "incapacitated," meaning unable to grant such a power, because of physical injury or mental illness, for example, unless the grantor (or principal) specifies that the power of attorney will continue to be effective even if the grantor becomes incapacitated. This type of power of attorney is called "power of attorney with durable provisions" in the United States or " enduring power of attorney ", "lasting" or "continuing" power of attorney elsewhere. In effect, under a durable power of attorney, the authority of the attorney-in-fact to act and/or make decisions on behalf of the grantor continues until the grantor's death.

What is a health care proxy?

The grantor can typically modify or restrict the powers of the agent to make end-of-life decisions. In many jurisdictions a health care power of attorney is also referred to as a " health care proxy " and, as such, the two terms are sometimes used interchangeably.

What happens if you don't have a power of attorney?

If a person does not have the capacity to execute a power of attorney (and does not already have a durable power in place), often the only way for another party to act on their behalf is to have a court impose a conservatorship or a guardianship .

What is a special power of attorney?

A special power of attorney is one that is limited to a specified act or type of act. A general power of attorney is one that allows the agent to make all personal and business decisions A temporary power of attorney is one with a limited time frame.

What is equal dignity?

The equal dignity rule is a principle of law that requires an authorization for someone performing certain acts for another person to have been appointed with the same formality as required for the act the representative is going to perform. This means, for example, that if a principal authorizes someone to sell the principal's house or other real property, and the law requires a contract for the sale of real property to be in writing (which is required under the Statute of Frauds in most U.S. jurisdictions), then the authorization for the other person to sign the sales contract and deed must be in writing too. Likewise, in common-law jurisdictions other than the U.S., a power of an attorney to execute a deed (i.e. instrument under seal or executed in presence of two witnesses) must be itself executed as a deed.

What is an attorney in fact?

Attorney-in-fact. The term attorney-in-fact is used in many jurisdictions instead of the term agent. That term should be distinguished from the term attorney-at-law. In the United States, an attorney-at-law is a solicitor who is also licensed to be an advocate in a particular jurisdiction.

What is a POA?

Power of attorney. 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). The one authorized to act is the agent, attorney, ...

What happens if an incapacitated person does not have a POA?

However, if the incapacitated person has a POA, the POA governs who manages their affairs.

What is the power to designate where the grantor lives?

The power to designate where the grantor lives (at home with a caretaker, a residential long-term care facility, a nursing home, etc.). The power to decide what the grantor eats. The power to choose who bathes the grantor. Importantly, as the grantor, you decide what powers to grant and to whom.

What is the opposite of a limited POA?

General. The opposite of the limited POA is the general POA. A general POA grants an attorney-in-fact the authority to perform almost any act as the grantor. This is the broadest form of a POA as it grants another person the authority to make any decision the grantor would make on the grantor’s behalf. Importantly, a general POA is only in effect ...

When is a durable POA effective?

The key characteristic of the durable POA is that it is effective both before and after a grantor becomes incapacitated. Therefore, an attorney-in-fact with a durable POA may act on behalf of the grantor when the grantor is competent and after they become incapacitated.

What is POA in healthcare?

A POA is a helpful tool for elders and caregivers alike. As a person ages, their mental or physical capacity may diminish, and they may become unable to care for themselves. Many elders require assistance with doctor’s appointments, medications, financial transactions, as well as managing their household.

Why do elders feel anxious about POAs?

Unfortunately, many elders see creating a POA as an immediate loss of independence because they are granting someone else control over some or all their affairs. For this reason, elders may become anxious or angry when family members attempt to discuss POAs.

Why do you need a POA?

A POA may provide a caretaker with the ability to intervene when their elder becomes incapacitated and ensure that their loved one is provided for and safe.

What is a power of attorney?

A power of attorney is a document that allows a trusted friend or family member to act on your behalf. This prevents the court from stepping in and making this decision for you in the event that you become incapacitated. The person who is authorizing the power of attorney is called the grantor, while the person who is authorized to act is known as the agent or the attorney-in-fact. A power of attorney becomes void if the grantor dies or if the attorney-in-fact is proven to be incapable of handling the affairs properly.

What is the duty of an attorney in fact?

The attorney-in-fact should avoid conflict of interests with your assets, such as combining bank accounts, or profiting from business transactions. As the agent manages your affairs, he or she should keep a detailed account of all the transactions. If a beneficiary or court should ask for the record, the agent is required to provide them with it. Failure to do so could result in loss of authority.

What is a power of attorney?

Power of attorney is a legally binding document in which the grantor gives another person authorization to make decisions on their behalf. There are a number circumstances in which power of attorneys are useful, such as when the grantor is medically incapacitated, incarcerated, not of sound mind, or if the grantor simply wants the security of having someone else make their decisions. Today we’re going take a closer look at this process, revealing some common questions and answers related to power of attorneys.

When does a power of attorney become null?

Standard power of attorneys become null/void if the grantor becomes physically or mentally incapacitated. The courts view such circumstances as the grantor not having the power to give someone the decision-making authority of their affairs; thus, the power of attorney is canceled. With a durable power of attorney, however, ...

When did Clay start Superior Notary Services?

In 2000 Clay started Superior Notary Services and revolutionized the notary public field by pioneering the mobile signing service. By offering Corporate notaries that travel to the location of the client’s choosing, Clay set the industry-standard in convenience.

Why are you liable for a power of attorney?

Are liable because of the relationship you have with the person (and this has nothing to do with you being the “agent”). Act negligently, fraudulently or illegally. Do something that you are not authorized to do by the Power of Attorney document.

Why is an agent a fiduciary?

Because the “agent” has a “fiduciary responsibility” to act on behalf of the grantor. That means you have to work in the best interests of the grantor and not your own. And that means if the grantor thinks (and can prove) that you acted outside your duty, she (or her heirs) can and will sue you.

What happened to the woman who was appointed as a power of attorney for her father?

Here’s what happened. Once the woman was appointed Power of Attorney for her father, she contacted her dad’s bank. The bank wouldn’t give her information on her father’s loan until she co-signed her father’s mortgage. Outrageous. The bank acted illegally of course.

What happens if a trustee doesn't complete her side of the bargain?

If the “grantor” doesn’t complete her side of the bargain, she will be held responsible, not you. This is very similar to how a trustee in a trust works and is the reason some people turn to professional trustees in certain circumstances . Sure there are some cases where creditors can come after you.

Why did the bank have to provide information to Pam?

The bank acted illegally of course. They had to provide information to Pam because she was the legal agent for her father. She didn’t need to take on any additional liability. Once this was brought to the attention of the bank, they started to behave. Be careful of tricks like this.

Is a power of attorney liable for debt?

The common theme is that a Power of Attorney isn’t personally liable for the debts of the grantor unless she does something wrong or silly or both. Neal’s Notes: It’s also important to keep in mind that there are certain problems with Powers of Attorney that go beyond the scope of what we are talking about here.

What does "agent" mean in real estate?

As “agent” you can enter into business transactions as defined by the general or limited power of attorney. Usually that means you can buy and sell real estate, take on mortgages, sign contracts and obligate the “grantor” in many other ways.

What to do when a hostile relationship arises?

If a hostile relationship arises, it is important that you seek professional advice when legal, healthcare or financial matters need professional backing. Additionally, if you are ever in doubt as to what the best course of action might be, never be afraid to seek legal advice. 10. Taking the next step.

What to do if the grantor is mentally capable?

If the Grantor is still mentally capable but wishes for you to act due to ill health, you should come up with a plan together to allow the Grantor some access. One common solution is to create a separate account with some spending money for the Grantor, making it easier for you to track expenses between the two of you.

What is a living will and/or health care representation agreement?

Determine if there is a living will and/or health care representation agreement. Health care decisions must be made under the Health Care (Consent) and Care Facility (Admission) Act. This act states that all decisions made about the person in medical care can only be through the person who is authorized under this act.

How to know if you have a power of attorney?

Here are 10 important things to know if you are holding a Power of Attorney. 1. Ensure you have a valid Power of Attorney and financial representation agreement. Make sure your agreement is valid under the Power of Attorney Act (British Columbia). For instance, if you are appointed an enduring Power of Attorney prepared by a lawyer ...

What happens if you are not authorized to act as a power attorney?

If you are not authorized to act as a power attorney but do act, you will be held liable. If the Power of Attorney is invalid, consider handling the matter at the Public Guardian and Trustee or apply to become a committee of the individual. 2. Determine if there is a living will and/or health care representation agreement.

Should a grantor be part of the decision making process?

Their mental and physical state should be monitored regularly in case they are improving or regressing by both whoever has Power of Attorney and health care professionals. Whenever possible, the Grantor should be part of the decision-making process.

Do you need to keep all financial records in writing?

It is especially important to keep all financial records in writing. It is suggested to refrain from using a debit card to obtain cash from the donor’s bank account. Instead, make all transactions from a separate chequing account for which you receive the returned cheques.

What is POA 47?

Subsection 47 (2) of the Substitute Decisions Act deals with the relationship between the grantor's capacity and the POA's validity. In particular, the subsection says that a POA for personal care is valid "if, at the time it was executed, the grantor was capable of giving it even if the grantor is incapable of personal care."

What is agency law?

Typically, agency law governs the relationship between an empowered attorney and an incapable grantor. This means that the grantor may acquire legal obligations as a result of the attorney's actions.

What is the SDA in Ontario?

In Ontario, the Substitute Decisions Act, 1992 ("SDA") governs the issue of capacity for both a POA for property and POA for personal care. The terms "capable" and "capacity" refer to mental capability and capacity.

What is a power of attorney?

A power of attorney ("POA") is a legal document giving someone else the authority to act on your behalf. The person who gives another this decision-making authority is called the grantor. The person empowered to make decisions on behalf of the granter is called the attorney.

Overview

Attorney-in-fact

Structure and requirements

Types

Implied limitations on agent's power

Specialized uses

Legal status by country

See also