What is a Power of Attorney and why is it important to have one?
A Power of Attorney is the legal power to make decisions on someone else’s behalf. There are two types of Powers of Attorney – general and enduring. General Powers of Attorney automatically lapse if the person granting the Attorney loses capacity and the term ‘enduring’ simply means that the power continues even if the grantor of the Attorney loses the capacity to make decisions.
It is extremely important that you give someone you trust a Power of Attorney to make decisions on your behalf in case you are unable to make decisions about matters that concern you (for example, you could be overseas and cannot sign a document or you could become ill).
What type of decisions?
- You may give your Attorney power to make decisions about personal/health matters and/ or financial matters.
- You can also limit the decisions your Attorney can make or specify decisions that you do not want your attorney to make.
- You can appoint more than one Attorney who can act jointly (together), as a majority (two-thirds, etc) or severally.