power of atty
What is a power of attorney
A Power of Attorney is a legal document which is drawn out so another person can act on behalf of you. A legal relationship is created wherein the principal is you and the person who is appointed is the agent or the attorney in fact. A Power of Atty specifies the kind of powers that your attorney in fact is given. These powers can be broad or limited. For example, when you are selling your property of some kind but are unable to be present, in such cases your attorney in fact can act on your behalf and sign on your behalf.
However, certain financial institutions like brokerage firms or banks have their own forms; they do not accept any other document. Then again, a lawyer might be able to convince them to accept your document.
Most Power of Atty’s are durable. The word is specifically mentioned in the document which means that the agent can use the power of attorney even if you are unable to handle your own affairs or are not in a condition to give him/her any kind of instructions; for example, in the event of some kind of disability or incompetence.
The Power of Attorney document requires the signature of both parties and needs to be legally notarized.
Some people might prefer to use a springing Power of Attorney. This takes effect only if a specific event takes place, for example, your disability of some kind. However, this does become a little problematic as the agent will need an affidavit which shows that such an event has actually happened.