Power of Attorney Legal Limits

Power of Attorney Legal Limits: Are There Any?

The person with power of attorney may undertake financial decision making and does have almost boundless legal limits. A power of attorney could be authorized to pay bills, open, close and manage bank and stock accounts, buy and sell property including the elder's residence, invest money, or withdraw money from investments, pay for senior care or services, decide on which living situation is best for an elder, place the elder in a care facility or nursing home, and otherwise make all important decisions except health-related decisions.

The elder may no longer have any say in financial decision making, or money decisions, if he or she has reached the point when a power of attorney is necessary. The law builds in the basic protection of having a formal document in place and requiring a notary public to verify the signature to protect against someone using another's identity. Unfortunately, the Durable Power of Attorney document itself does not protect the elder against the wrong use of the document, nor does it have any connection to the courts. It allows virtually unlimited freedom to make money decisions.

Abusing Power of Attorney

There is no legal requirement that a power of attorney be related to the elder. It is certainly a problem for those who have no children or other relatives to choose someone trustworthy. Very sad cases of financial abuse have occurred when the former secretary, housekeeper, gardener, or other person close to the elder was given a Durable Power of Attorney. It is truly a "license to steal" in the hands of an unscrupulous person whose motive is to take the elder's money. Even those who have known the elder for many years are not necessarily trustworthy when it comes to money. A valuable house, jewelry, large bank account, or other assets can simply be too tempting for someone who puts self above the needs of a helpless and unknowing elder.


5 months ago, said...

Can the Power of Attorney be used by the agent to take my money or property without my permission?


7 months ago, said...

I am involved in a incident where one relative had power of attorney. Five relatives were cleaning out the house taking the tools, towels and pictures. In the garage a safe was found with 40,000 dollars in it and the poa grabbed it and put in her car. It has not been seen since.


12 months ago, said...

Hi I Need advice for my wife and as her POA Seeking protect against creditors and to transfer assets ?


over 1 year ago, said...

My ex had POA from me and has sold my house and will not give me any of the money. Can she get away with that?


almost 2 years ago, said...

Ever since my auntie got sick my grandma has power of attorney over her.my grandma won't let her go outside, talk to people and she doesn't take care of her physical appearance. My aunt doesn't go to her physical therapy or any type of program to help her.is there anything I can do????


over 2 years ago, said...

does a power of attorney have the right to claim the remains of a loved one who is not the next of kin?


over 3 years ago, said...

I've read that the DPOA Act restricts the POA from voting, amending a will, or contracting a marriage on behalf of the principal. Where can I find this law/restriction? My moms bf married her via POA the week after I filed for guardianship. I tried to invalidate the marriage on mental condition (alz) but have been timed out as colorado only allows 6mo, and I waited too long. Anyway, I'm trying to invalidate it now by fraud/void contract. Any help is great thanks!


over 5 years ago, said...

very true but does a p.o.a have a right to ignore ones wishes in writing when p.o.a. was drawn up