Power of Attorney

Power of Attorney

Power of Attorney in Polk County, Florida

What is a Power of Attorney?

A Power of Attorney is a legal instrument that is used to delegate legal authority to another. The person who signs (executes) a Power of Attorney is called the Principal. The Power of Attorney gives legal authority to another person (called an Agent or Attorney-in-Fact) to make property, financial and other legal decisions for the Principal. A Principal can give an Agent broad legal authority, or very limited authority. The Power of Attorney is frequently used to help in the event of a Principal’s illness or disability, or in legal transactions where the Principal cannot be present to sign necessary legal documents.

Different Types of Powers of Attorney

  1. Durable Power of Attorney – Durable Power of Attorney enables the Agent to act for the Principal, even after the Principal is not mentally competent or physically able to make decisions. The “Durable” Power of Attorney may be used immediately, and is effective until it is revoked by the Principal, or until the Principal’s death.
  2. Nondurable Power of Attorney – Nondurable Power of Attorney is often used for a specific transaction, like the closing on the sale of residence, or the handling of the Principal’s financial affairs while the Principal is traveling outside of the country.

What types of things are Powers of Attorney Used For?

People use Powers of Attorney for various different reasons, but the following are the most popular:

  1. Buying or selling real estate on your behalf;
  2. Managing property on your behalf;
  3. Conducting bank transactions;
  4. Investment of money;
  5. Making legal claims;
  6. Attend to tax and retirement matters; and
  7. Making gifts on your behalf.