Power of Attorney in California
A power of attorney (POA) is a legal relationship between two people--the principal and the
agent (also known as the attorney). A power of attorney gives the agent the right to perform
legal actions, such as executing a contract, on behalf of the principal California law governs the
scope and effectiveness of a power of attorney
Who Can Be a Party to a Power of Attorney?
To be the principal or agent in a power of attorney, you must meet three qualifications.
- You must be at least 18 (or legally emancipated).
- You must be of sound mind (you must understand the nature and consequences of
signing a POA or accepting responsibilities under it).
- The POA must satisfy certain formal requirements--it must be in writing, and depending
on its contents, it might have to be signed by witnesses and/or notarized.
You do not need to be a licensed attorney to serve as a party to a power of attorney. In this
case, the word “attorney” has nothing directly to do with the practice of law.
When Does a POA Take Effect?
In terms of duration, you may select from three main types of POA:
- A non-durable POA, which expires when the principal becomes incapacitated (the
principal loses mental competence or loses the ability to communicate with others).
- A durable POA, which continues even after the principal loses mental competence.
- A springing POA, which becomes effective only after the principal becomes
incapacitated.
What Types of Decisions Can an Agent Make on Behalf of the
Principal?
A POA generally grants one of both of two different types of authority--the power to make
healthcare decisions, and the power to make financial decisions. Courts tend to closely
scrutinize POAs that grant the agent broad authority over the principal’s finances.
What is the Difference Between a General POA, a Limited POA
and a Healthcare POA?
A general POA grants the agent very broad authority (“to perform any legal act that I could
performt”, for example). A limited POA grants the agent narrower, more restrictive powers over
the principal’s finances--the right to sell the principal’s home, for example. A healthcare POA
grants the agent authority to make healthcare decisions while the principal is incapacitated.
When Does a POA Terminate?
A POA will terminate when:
- an expiration date inserted into the POA document is reached;
- the task for which the POA is created has been completed (the sale of a home, for example);
- the principal dies; or
- the principal regains mental competence, if the POA is non-durable.
Can I Revoke a POA?
The principal can revoke a POA at any time, unless they become incapacitated. If they become
incapacitated, a court might issue an order revoking the POA.
Don’t Let the Glue of Circumstance Harden Around Your Feet.
Contact Masumi Patel Today!
A POA is a powerful legal document that can come back to haunt you if you draft it poorly. Do
not use a template to draft one. Instead, contact the Law Office of Masumi Patel as soon as
possible to schedule a consultation. I will be happy to listen to your story, answer your questions
and, if necessary, draft a POA for you.