Melville Power of Attorney Lawyer

As a skilled estate planning legal professional could explain, a power of attorney (POA) is an estate planning tool used to designate an agent who will make financial and healthcare decisions for you when you cannot. Adopting a POA while you are mentally sound prevents the courts from appointing a guardian, most likely a stranger, when your capacity slips.

Your agent is called an attorney-in-fact but does not have to be a lawyer. They can be a loved one or friend, if they are at least 18, or a professional with trust powers. Our Melville power of attorney lawyers at Tully Law Group, PC, are available to sit with you and explain the types of powers of attorney that could benefit your estate plan.

Types of Powers of Attorney

As a Melville lawyer could explain, powers of attorney are either general or durable. General powers of attorney can convey a wide range of duties to the maker’s (or principal’s) agent. These duties include conducting financial and real estate transactions in the maker’s name and representing the maker in some government actions. General powers are only in effect while the maker is of sound mind and extinguish once they are not.

Durable powers of attorney kick in when the maker becomes incapacitated and can be for financial or healthcare oversight.

New York’s General Obligations Law

In 2021, New York revamped the laws governing powers of attorney. For example, under the General Obligations Law (GOB) Section 5-1502K, healthcare powers of attorney changed to clarify that the agent is limited to receiving medical information about the maker so they can handle healthcare benefits, payments, and other financial matters. A separate health care proxy, a form of a POA, is necessary for an agent to make medical decisions, such as to authorize surgery or other medical treatments. Other provisions of the GOB include:

• The language of the POA conforming with the GOB
• Applying penalties if a valid POA is presented to a financial institution or other recipient and they unreasonably reject it
• Legible POAs that must be signed by the principal or designee who is of sound mind, initialed, dated, notarized, and witnessed
• Recipients acting in good faith when they accept a POA that later is deemed invalid not facing liability if certain conditions are met
• Eliminating the Statutory Gift Rider, which was formerly required if the agent made gifts in excess of $500 annually, and makers can authorize gifts up to $5,000

POAs are not just for estate planning for older principals. They can also be used by college students who may want their parents to gain control of their finances if they cannot. Our Melville legal team listens to our clients and provides legal guidance from the cradle through old age to protect and strengthen families’ goals regarding power of attorney.

Revoking or Terminating a Power of Attorney

Powers of attorney are not indefinite. If circumstances change and a new POA is appropriate, the old one must be revoked. A POA terminates when the named agent fulfills their duties, generally for limited POAs, and no other agent is designated. If the principal dies, a POA terminates, and a general one terminates if the principal becomes mentally incapacitated. POAs also terminate when an included clause calls for it.

A Melville Lawyer Skilled in Power of Attorney Could Oversee Your Obligations

An effective way to determine whether you will need a trusted friend or loved one to help manage your affairs is to plan for it with powers of attorney. These handy documents allow your agent to manage your finances, healthcare, and any limited needs, like advocating for your adult child in college or closing on a real estate deal when you are out of the country.

Our knowledgeable attorneys consider your family and your needs when advising you about estate planning. That includes situations when you are likely to need a POA. Call a Melville power of attorney lawyer now and let us coordinate documents you may need to safeguard your family’s assets during a consultation meeting.