In California, a person can appoint anyone as their agent through a POA, including a spouse, friend, or attorney. However, issues can arise when the decisions made by the POA conflict with the wishes of the spouse.
A power of attorney gives one or more persons the power to act on your behalf as your agent. The power may be limited to a particular activity, such as closing the sale of your home, or be general in its application. The power may give temporary or permanent authority to act on your behalf.
1. General Power of Attorney. A General Power of Attorney grants broad powers to an agent to conduct a variety of transactions. This capability becomes a critical tool in executing an estate plan or managing legal business and financial affairs.
Because a power of attorney may grant very broad power over your property, including your bank accounts, we recommend that you consult a legal advisor, estate planner or other tax professional to see what's right for your situation.
An agent can only transfer money to themselves if the POA document explicitly allows it. Self-transfers without explicit authorization are generally considered a breach of fiduciary duty and can lead to legal consequences.
Two siblings can share power of attorney, allowing them to jointly manage a loved one's affairs. This arrangement requires careful consideration of various aspects to ensure efficacy and harmony.
A power of attorney cannot change a properly written will. However, such a person can make many changes to the assets surrounding that estate. Here is how it works. Estate planning can get complicated, quickly; working with a financial advisor goes a long way to simplifying the challenge.
For example, for power of attorney to be durable in California, it must contain specific language to that effect. Power of attorney documents must also either be notarized or signed by two witnesses. These errors and others can render the power of attorney void.
Can a Nursing Home Override a Power Of Attorney? Generally, a nursing home cannot override the decisions made by an agent with power of attorney. The purpose of a POA is to give a trusted individual legal authority to act on the principal's behalf when they can no longer make decisions.
If the principal wants to see the visitor, the POA cannot interfere. If the principal lacks mental capacity, the POA (a/k/a the attorney-in-fact) may control most aspects of life. However, restricting access to friends and family is not normally done unless necessary to protect the principal.
Marriage revokes a will; it does not affect the POA, directly; although, you as fiduciary will need to talk to your father about his plans in light of his new family situation. With the new marriage, the whole estate plan needs to be reconsidered.
Durable Powers of Attorney
The surviving spouse needs to take care that another trusted person replaces the decedent as their power of attorney. The surviving spouse also must decide if the power of attorney may be used at any time, or only when he or she becomes incapacitated.
No, a doctor cannot override a medical power of attorney. Your doctor is obligated to follow the direction of the person you designate as having medical power of attorney over you.
Since your power of attorney potentially will be handling your legal and financial affairs, you'll want to choose someone who either has some experience in these fields or has the personality and financial savvy to handle the decisions that may fall to him or her. Choose someone who: Is trustworthy and fair minded.
It is often more convenient to have two separate Powers of Attorney -- one for financial duties and one for health care decisions.
Power of attorney abuse must be proven before action can be taken. Financial records showing that the Agent is taking advantage of the Principal are often the best proof. You can file a lawsuit against the Agent for power of attorney abuse.
Through the use of a valid Power of Attorney, an Agent can sign checks for the Principal, withdraw and deposit funds from the Principal's financial accounts, change or create beneficiary designations for financial assets, and perform many other financial transactions.
The POA cannot transfer the responsibility to another Agent at any time. The POA cannot make any legal or financial decisions after the death of the Principal, at which point the Executor of the Estate would take over. The POA cannot distribute inheritances or transfer assets after the death of the Principal.
Key Takeaways: A Power of Attorney (POA) can sell property before death if explicitly authorized in the document, but authority ends immediately upon death.
One major drawback of joint bank accounts is the automatic transfer of ownership upon the death of one account holder. This can bypass the deceased's will and complicate estate planning. A POA does not grant ownership; it merely allows the agent to act on behalf of the principal.
Bank tellers can technically access your account without your permission. However, banks have safety measures in place to protect your personal data and money because account access is completely recorded and monitored.
Only the account holder has the right to access their bank account. If you have a joint bank account, you both own the account and have access to the funds. But in the case of a personal bank account, your spouse has no legal right to access it.