The power of attorney letter is put in place as a legal document that allows another person to take control of an individuals finances or legal affairs. There are number of reasons why power of attorney letters are in place, usually a power of attorney letter is put in place due to old age, injury, or because a person is not able to make their own decisions. Whilst it may initially seem that these letters are not used very often, they are in frequently used within the legal world.
In order for a power of attorney letter to be put in place the person granting this must be in full agreement. This individual must also nominate an agent who will manage their finances and legal affairs on their behalf. Within the power of attorney letter there must be a statement about how long the agent will manage the affairs of another person for. Sometimes there are power of attorney letters that are put in place that are left open ended; this is especially the case when the letter has been put in place due to old age or injury. Generally a solicitor will be used in order to produce a power of attorney letter, but it is also possible to use a template if it is a basic case. There are a number of different power of attorney letters that can be put in place by individuals or solicitors. These include a general power of attorney letter, health care power of attorney letters and also financial power of attorney letters.
A power of attorney letter can be put in place with immediate effect or it can come into power if an event happens to an individual, for example in case an individual becomes disabled at any point. A power of attorney letter will generally include basic information about the person it involves and the agent taking responsibility. In order for the letter to be put in place there must be two witnesses present; without this the power of attorney letter will not legally be in place. Within the letter will be a break down of all of the powers that have been handed over to agent and how long they will hold these powers for. The production of a power of attorney letter is relatively simple and therefore low cost if a solicitor produces it.