4 Common Questions About Power of Attorney in Illinois

 Posted on October 24,2024 in Estate Planning / Probate

A power of attorney allows a person (the principal) to appoint someone else (the agent) to perform certain actions or make certain decisions on his or her behalf. It is an excellent legal tool used in various situations that can help protect someone’s health and finances. A principal may grant an agent authority to make decisions regarding his or her healthcare, for example, or to complete financial tasks. Creating a power of attorney requires careful attention to detail, which is why it should be drafted by an experienced Illinois estate planning attorney.

Although a POA is a useful legal instrument, it is often misunderstood. Here are four questions people often ask about POAs in Illinois.

Does a POA Grant an Agent Unlimited Authority?

An agent’s power is limited to the scope of authority you define in the power of attorney document. This could include broad authorizations like making decisions about your health or more specific ones like signing a contract on your behalf. An important thing to remember is that agents have a fiduciary duty to act in their principals’ best interests, so they can only make decisions or perform tasks that benefit them.

Is a POA Used for When You Are Incapacitated?

A common misconception is that a POA is only used to allow an agent to make decisions on behalf of a principal who is incapacitated. While there are POAs that are designed to take effect when you are unable to communicate — such as a power of attorney for healthcare — there are many other uses for a POA. For example:

• You can grant an agent power of attorney to purchase property for you overseas.
• You can use a power of attorney to authorize an agent to open a bank account in your name.
• You can give someone power of attorney to manage your investments.

Is a POA Permanent?

No POA is truly permanent because they all expire at death. Furthermore, while a durable POA remains in effect when you become incapacitated, a non-durable POA ends if lose your capacity to make your own decisions. Some powers of attorney expire when the task described in the document is completed.

At any point, a principal has the right to revoke a POA if he or she has the mental capacity to do so.

Does an Agent Have to Be a Family Member?

Many principals choose to name family members as agents, but a POA can be granted to anyone who is:

• At least 18 years old
• Of sound mind
• Not the principal’s doctor or healthcare provider if the document is a power of attorney for healthcare

When selecting an agent, it is important to make sure he or she is loyal, trustworthy, and capable of performing the required tasks.

Contact a DuPage County, IL Power of Attorney Lawyer

There are various types of power of attorney but not all of them may fit your purposes. Make sure you have the perfect power of attorney that exactly meets your needs by contacting DLAW, PC. Attorney Deanna Walker provides services on a wide range of legal matters and will draft a power of attorney that serves your interests. Schedule a free consultation with a Geneva, IL estate planning attorney by calling 331-222-7978 today.