Durable Power of Attorney

The essential difference between the two is that the former ends when the principal becomes incapacitated. Whereas a Durable Power of Attorney is so called because it continues at the principal’s incapacity. Both will expire upon death. However, even a Durable Power of Attorney can be revoked, such is the case if divorced spouses neglected to update the paperwork.

You can revoke any type of power of attorney in one of three ways: you can issue a power of attorney revocation on 360 Legal Form, for one, and have it sent to the agent; Another option is to assign another agent to replace the current. Finally, in the event of the principal’s death, a Durable Power of Attorney is automatically revoked.

An agent to your POA does not have the power to change your will or trust documents. Furthermore, an agent does not have the right to transfer their power to another person. The primary reason is that the appointed agent has a fiduciary duty towards the principal to act in their best interests. If there's a suspicion of fiduciary betrayal, a power of attorney can be challenged in court.

Many people pick their attorneys, relatives, friends, or spouses to give a POA to. Needless to say, you should only give it to trusted people who don’t have a conflict of interest.

No. A Durable Power of Attorney typically only allows agents to make decisions about the management of financial and real assets. To assign an agent for medical decisions, you'll need another type of advance directive called a Medical Power of Attorney. If you don't have such a document, a court will appoint a conservator to make medical decisions on your behalf.

There is no explicit requirement that you should pay someone to be your Durable Power of Attorney agent. However, unless the Durable Power of Attorney explicitly states otherwise, some states allow your agent to allocate compensation to themselves to cover expenses.

Generally speaking, all states will recognize Durable Powers of Attorney created in other states. However, it's a good idea to check with an attorney in that state if you have the opportunity. If you have any doubts, start with a generic Durable Power of Attorney and ask a lawyer to help you ensure it can be probated in every state.

In most cases, no. You don't need to file a Durable Power of Attorney for it to be valid in most states. However, if your agent needs to make decisions involving real estate on your behalf, it helps to have the Durable Power of Attorney on file at the county records office where you own property.

No. A Durable Power of Attorney lists the areas in which an agent is allowed to act. Unless specifically listed, the document does not allow agents to make decisions about any of your affairs.
Furthermore, the agent is legally required to comply with the stipulations of the Durable Power of Attorney. Failure to do so could result in financial liability for any damages caused by their actions.