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Enduring
power of attorney |
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What is an Enduring Power of Attorney and why should you make one?
Put simply an Enduring Power of Attorney is a document by which you can choose
who is to manage your affairs if you become unable to manage them.
Ordinary Powers of Attorney have existed for a long time. They allow a person
(the 'Donor') to authorise someone else ('the Attorney') to act
on the Donor's behalf and manage the Donor's affairs. Ordinary Powers of Attorney
have one major drawback, they cease to operate if the Donor becomes mentally
incapable.
Accordingly in 1985 Parliament created Enduring Powers of Attorney.
An Enduring Power of Attorney has to be created in a form laid down by law. So
long as the Donor is mentally capable it either operates as an ordinary Power
of Attorney or (if the form so provides) it is of no effect at all. The Enduring
Power of Attorney can at any time be revoked by the Donor.
If the Donor becomes mentally incapable the Enduring Power of Attorney ceases
to have effect until it is registered with the Court of Protection which is normally
a simple process. Once it is registered the Attorney has power to do most of
the things the Donor could have done subject always to any restrictions which
the Donor originally included in the Enduring Power of Attorney. One of the things
that an Attorney cannot do is to make a Will for the Donor. The Attorney whilst
being able to make birthday and Christmas presents on the Donor's behalf is not
allowed to give the Donor's property and money away.
An Enduring Power of Attorney enables the Donor to decide who he or she would
like to look after his or her affairs in the unhappy event that he or she becomes
mentally incapable of managing his or her property or affairs. In this uncertain
world all of us should make an Enduring Power of Attorney. Any of us may at any
time be struck down by illness or accident and become incapable of managing our
property and affairs. It is a relatively simple and straightforward thing to
do and it potentially saves our family and friends from much worry and expense.
Without an Enduring Power of Attorney if incapacity does arise the only course
is the appointment of a Receiver by the Court of Protection which many people
find to be an expensive and bureaucratic arrangement.
Although a relatively straightforward matter, making an Enduring Power of Attorney
does involve giving complete authority to others and it is essential that full
legal advice is given of the traps and safeguards that should be considered.
Sadly, the Public Trust Office who look after this area have reported fraud and
abuse by Attorneys on occasions. The scope for fraud or abuse by Attorneys can
be properly limited by full advice and appropriate provisions in the document.
You can rely on our experienced team to advise you of the various matters you
should consider and the potential problems and pitfalls. Making an Enduring Power
of Attorney is something you should do for your family.
For more information or a consultation contact our manager Valerie
Phillips or Richard Bussell
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