A simple POA will identify the following basic elements:
- Agent(s): a responsible and trustworthy person acting on your behalf.
- Principal: person assisted with personal, business, or legal matters.
- Grant of Authority: general or specific authority to take certain actions.
- Effective Date: when the the form effectively begins, usually immediately.
- Signatures: the Principal and a Notary must sign the document.
You should consider having a POA if: You travel out of the country often. You are employed in a hazardous work environment. You have been diagnosed with a serious illness. You have business or property that you would want maintained if you were unavailable. You have children that would need to be provided for if you were to become incapacitated. You want a specific person to be responsible for your affairs. You have rules about how you run your business, property, or life, and you want to ensure they are upheld. You are approaching old age and would like to designate a representative for yourself.
The document also automatically terminates when:
- The Principal dies.
- The Principal becomes incapacitated (if non-durable).
- The Agent dies or is declared legally incompetent and there is no successor named.
If you do decide to void a Power of Attorney, you should notify any banks, businesses, or other institutions that might be affected.
Power of attorney, also referred to as a POA, is a legal document that allows a person (principal) to choose someone else (agent or attorney-in-fact) to represent their financial, medical, tax, vehicle, parental, or any other needs selected. The document does not need an attorney to create (although it is always advised that a person seek legal counsel) and after completion, depending on the State, signatures need to be witnessed by at least two (2) people or by a notary public (preferred).