Power of Attorney (POA) is a major building block in estate planning, offering individuals the ability to appoint a trusted agent to manage their affairs when they are unable. It is important to work with a skilled attorney when you’re creating vital documents like POAs that must be legally binding. If you reside in Southeastern Massachusetts, turn to Surprenant & Beneski, P.C. for help with POAs and other estate planning matters. Our legal team has been crafting foundational documents efficiently and effectively for over 20 years.
What Purposes Does a Power of Attorney Serve?
A POA grants authority to an appointed individual, referred to as the agent or an attorney-in-fact, to make financial and legal decisions on behalf of the individual granting the authority, known as the principal. This legal document empowers the agent to act in the principal’s best interests, whether managing bank accounts, applying for benefits, or handling the ownership of real estate, if the principal should become incapacitated.
Types of Powers of Attorney in Massachusetts?
In Massachusetts, there are several types of POAs, each tailored to specific needs and situations:
Limited or Special POAs restrict the agent’s authority to specific actions or timeframes, providing more control over the scope of decision-making.
Durable POAs are POAs that remain in effect even if the principal becomes incapacitated and grant broad authority to the agent to manage various financial and legal matters on the principal’s behalf.
Understanding the implications of each type of POA is essential to ensure that the document used is the one that meets your specific objectives and safeguards your personal interests.
When Does Power of Attorney End?
Any POA automatically ends at the principal’s death, and a limited or special POA can be drafted to end after a certain time period or specific date. A durable POA also ends if:
- The principal revokes it.Â
- No agent is available (though an alternate can be named).Â
- A court invalidates the document because the principal is found to have been the victim of fraud or undue influence.
Examples of Situations in which a POA is necessary:
- A POA may become invaluable for an elderly individual facing declining health because it will make it possible for a designated agent to manage their finances, and pay bills, as needed.
- A person of any age may suffer sudden illness or injury and be unable to state their wishes about their medical care or about how to manage their business. They may also leave their family unable to access necessary funds. Having a POA in place will name the trusted individual they have chosen to handle the tasks and make the decisions that they are unable to attend to.
- A business executive may be unavailable to handle a critical financial matter while overseas, ill, or otherwise unavailable, in which case, having a designated POA to negotiate, make critical decisions, or sign documents on their behalf may be crucial to keeping their business running smoothly.
Do you need a lawyer in order to obtain a POA?
While it’s possible to create a POA without legal assistance using online templates or do-it-yourself kits, seeking guidance from an experienced attorney offers several advantages since an estate planning lawyer:
- Has the in-depth knowledge necessary to meet complex legal requirements
while ensuring that your personal interests are best served.
- Can provide insight based on years of experience and advice tailored to your unique circumstances.
- Has the skill to draft documents precisely so that they minimize the risk of disputes or legal complications down the line and safeguard your health, your assets, and your loved ones.Â
The Takeaway
Everyone should have a Power of Attorney to make certain that their needs are met, their interests protected, and their family provided for if they become incapacitated or otherwise unable to assume their usual roles. Everyone should also have a lawyer who can be trusted to help decide which type of POA is needed and to effectively craft, review, and execute the POA and other foundational documents. Don’t leave your future, the future of your business, or the future of your loved ones, to chance. Contact Surprenant & Beneski today.