A Durable Power of Attorney is a legal form that lets someone (the "principal") choose another person (the "agent") to make decisions for them, even if they can no longer make decisions themselves.
This document is designed to comply with the laws of all 50 states.
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What is a Durable Power of Attorney?
Unlike a standard power of attorney, a durable power of attorney remains in effect even if the principal becomes incapacitated or mentally incompetent, ensuring that the agent can continue to manage the principal's affairs without interruption. The durability feature distinguishes it from non-durable powers of attorney, which typically terminate upon the principal's incapacitation.
The scope of authority granted to the agent can vary, ranging from broad control over all financial and legal decisions to limited powers for specific tasks, depending on the terms outlined in the document. It's commonly used in estate planning to provide continuity of decision-making. It is governed by state-specific laws in the United States, requiring proper execution, such as notarization or witnessing, to be legally binding.
Ensures Continuity During Incapacity - Remains effective even if the principal becomes incapacitated, allowing the designated agent to manage financial, legal, or medical decisions seamlessly without court intervention.
Prevents Delays and Legal Complications - By appointing a trusted agent ahead of time, it avoids needing a court-appointed guardianship or conservatorship, which can be time-consuming, costly, and stressful for loved ones.
Provides Flexibility and Control - The principal can customize the document to grant specific powers tailored to their needs, ensuring their wishes are followed by someone they trust, even if they can no longer communicate or make decisions themselves.
FAQs
Yes, once the person who created the DPOA (called the principal) dies, the legal authority granted to the agent (also known as the attorney-in-fact) is no longer valid. After death, decisions about the deceased’s estate are typically handled by the executor named in their will or by a court-appointed administrator if there is no will.
By default, a durable power of attorney does not cover medical decisions unless specifically stated in the form.
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