A limited power of attorney, also commonly referred to as a special power of attorney, is a legal document that designates a person (known as an agent) to act on behalf of another (known as the principal) in a specific circumstance or for a set period of time.
Drafting a limited power of attorney in Covina could be essential to your estate planning. Get in touch with a skilled POA attorney at Amity Law Group today to learn more about this document and whether it applies to your plans.
What Is a Limited Power of Attorney Used for?
The limited power of attorney is typically very specific in its scope, and the agent is not authorized to act on the principal’s behalf on matters outside the document.
Some decisions or actions that may involve a limited power of attorney include business transactions while the principal is out of town or making decisions on the principal’s behalf if they suddenly become incapacitated.
The principal chooses an agent to act on their behalf, someone they trust. The agent must be 18 years old, but no educational requirements exist. The limited power of attorney is automatically revoked if the principal dies or when the specific situation or purpose of the document has passed.
Types of Limited Powers of Attorney
A limited power of attorney in Covina can be used in various circumstances. For instance, a document with springing powers only becomes active when a specific event occurs, such as the sale of a business property while the principal is out of town.
It is also worth noting that while most limited powers of attorney are non-durable, meaning they are revoked upon the principal’s death or incapacitation, durable limited powers of attorney can be drafted to cover specific situations.
While most limited powers of attorney are non-durable, meaning they are revoked if the principal dies or becomes incapacitated, durable limited powers of attorney can also be drafted to cover specific situations.
How a Lawyer Can Help You Obtain a Limited Power of Attorney
A Covina lawyer could explore the specific situation in which a person may need a limited power of attorney, discuss with them what this document covers, and draft it to ensure that it is compliant with California law.
A dedicated estate planning attorney can also advise their client about certain risks throughout the process of creating the document. For example, an agent may be granted too much authority or not enough to accomplish their mission. Similarly, the document may not provide clear instructions as to when the limited power of attorney is revoked.
Call Amity Law Group to Learn More About Limited Power of Attorney in Covina
A limited power of attorney is a powerful tool with many uses for Covina residents. This document allows someone else to make legal decisions on your behalf, including entering into contracts, managing accounts, and making business transactions.
The document must be drafted so that it covers all aspects of your agent’s authority while keeping you in control of how long this authority lasts. If you are establishing a business or estate plan, the reliable legal team at Amity Law Group is ready to discuss whether the limited power of attorney is the proper document for your situation. Contact us today to schedule an initial consultation and learn more.
