How to Draft a Power of Attorney Agreement

What is a Power of Attorney Agreement?

A Power of Attorney (POA) agreement is a legal document that allows one person (the agent or attorney-in-fact) to act on behalf of another person (the principal) in certain legal or financial matters.

What are the different types of POA agreements?

There are different types of POA agreements, including general, limited, durable, and springing. A general POA gives the agent broad powers to act on behalf of the principal. A limited POA gives the agent specific powers to act on behalf of the principal. A durable POA remains in effect even if the principal becomes incapacitated. A springing POA only becomes effective if certain conditions are met, such as the incapacity of the principal.

What should be included in a POA agreement?

A POA agreement should include the names and addresses of the principal and agent, the type of POA, the scope of the agent’s authority, any limitations or restrictions on the agent’s authority, the duration of the POA, and any compensation or reimbursement for the agent.

Do I need an attorney to draft a POA agreement?

While it is possible to draft a POA agreement without an attorney, it is recommended to consult with an attorney to ensure that the agreement is valid and enforceable. The laws regarding POA agreements vary by state, so it is important to consult with an attorney who is familiar with the laws in your state.

Can a POA agreement be revoked?

Yes, a POA agreement can be revoked at any time by the principal as long as they are of sound mind. The revocation should be in writing and signed by the principal. It is also recommended to notify the agent and any third parties who may have relied on the POA agreement.