Question

What are some considerations to be given by clients and their attorneys before granting a power of attorney to another individual? What consideration must be given concerning the individual named as attorney in fact? What consideration must be given concerning the scope of powers granted in the power of attorney?

Answer 1

Answer

Consideration to be kept in mind while granting valid power of attorney general.

With a Power of Attorney, an agent is often entrusted with important decisions, and the agent may have access to some or all of your property. If the agent is not trustworthy, serious problems can result. For example, if the agent is dishonest and runs away with your money, it may be difficult or impossible to get the money back.

Also, you will ordinarily be bound by your agent's acts (even foolish acts) and will be responsible for your agent's negligence while the agent is acting for you. For example, if an agent is authorized to manage your financial affairs and signs a contract to purchase something on your behalf, you will ordinarily have to pay for it, like it or not.

It is obviously important to choose a trustworthy agent. You should also consider carefully which powers to give the agent.

consideration must be given concerning the individual named as attorney of general

IT is often convenient - or even necessary - to have someone else act for you. You can give someone the legal authority to act for you with a document called a Power of Attorney. If you give a Power of Attorney, you are called the principal and the person you give it to is called the agent or the attorney-in-fact.

A paper giving a Power of Attorney should be clear and understandable. It should give only those powers you want to give. The powers given may be very limited or very broad.

Scope of power in power of attorney

Many things that people do may be done through agents. You may authorize an agent to:

• buy or sell things for you;
• apply for public benefits (such as Medicaid, Medicare, or Social Security) for you;
• manage your business;
• collect your debts;
• invest your money;
• cash your checks;
• manage your financial matters generally; or
• sue on your behalf.

client must specify in the Power of Attorney document what power he is giving to your agent and when those powers are to take effect.