Why are Lasting Powers of Attorney so important?

Leeds Day

Why are Lasting Powers of Attorney so important?

What is a Lasting Power of Attorney?

A Lasting Power of Attorney is a document in which one person, known as ‘the donor’, gives another person or persons, known as the ‘the attorney(s)’, the power to act on his or her behalf. What is significant about Lasting Powers of Attorney is that the attorney can continue to act on the donor’s behalf even if the donor loses mental capacity. This is not that case with most other forms of authority. There are two types of Lasting Powers of Attorney – one for property and financial affairs and one for health and welfare matters. Both types give the attorney legal power to deal with third parties on the donor’s behalf. In order to make a Lasting Power of Attorney the donor must have the mental capacity to make decisions for him or herself and so it cannot be created by a person who is no longer mentally able to deal with these matters.

Why would I need a Lasting Power of Attorney?

In the event that a person loses their mental capacity or otherwise becomes unable to conduct their own affairs, a Lasting Power of Attorney gives legal power to another person to conduct such affairs on their behalf. Appointing an attorney whilst still capable of making decisions allows a person to select someone they feel comfortable with to take charge and protect their assets should this be necessary in the future.

What does a Lasting Power of Attorney do?

Depending on the powers given to the attorney, their duties may include the following tasks: Looking after bank accounts and financial affairs, including investments. Deciding where the donor may live. Having access to personal information. Making decisions about day-to-day personal care or healthcare.

Can someone take away your Lasting Power of Attorney?

A donor can revoke their Lasting Power of Attorney if they wish as long as they are mentally competent. Alternatively, if the donor has lost mental capacity and a court determines that an attorney is abusing his or her authority as an attorney, a Court can revoke the Lasting Power of Attorney and appoint someone else in their place.

What happens if the donor dies?

When the donor dies the attorney’s power ends. This means, if you have been acting as an attorney under that Lasting Power of Attorney, you will no longer have the authority to manage the late donor’s affairs. After death, the executor of the estate handles all financial and legal matters, according to the provisions of the donor’s will.

For further advice on preparing a Lasting Power of Attorney, please contact Leeds Day on 0844 567 2222 by email at wills@leedsday.co.uk or visit our website www.leedsday.co.uk

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