A power of attorney (POA) is a legal document that grants another person authority over your affairs, such as legal, financial, and medical matters. The YouTube video delves deeper into the topic. It defines the terms and duties of someone who holds power of attorney.
POA Key Points
Firstly, the person who grants the POA is known as the “Principal,” while the person who receives the POA is known as the “Agent,” or the “Attorney-in-fact.” There are different powers of attorney. For example, general, limited, durable, and healthcare powers of attorney. Each of these POAs serves a different purpose.
A general POA gives the agent a broad range of powers and enables them to carry out functions on behalf of the principle, such as legal, healthcare, and financial duties. Limited POA restricts the agent’s duties and powers, while durable POA grants the agent continuous power even if the principal becomes incapacitated. Lastly, a healthcare POA grants the agent the right to make medical decisions on behalf of the principal.
The principal must be of sound mind and legal capacity to create a POA. Furthermore, the parties must sign the POA per state law requirements. If the principal is mentally competent, they may revoke or amend the POA. It’s a valuable legal document allowing you to appoint someone you trust to make decisions on your behalf when you can’t.
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