Power of Attorney Abuse - Buyer Beware 31262

A power of attorney can be used to delegate legal authority to some other person. Click here The Gordon Law, P.C. - White Plains Estate Planning and Elder Law Attorney Division Is Now Serving Clients In The Westchester County Area to learn the purpose of it. The principal (anyone giving the power of attorney) provides agent, also referred to as the attorney-in-fact, the power to make legal choices on his/her behalf, including real estate, handling bank accounts, and other assets.

The potential for fraud exists in most power of attorney arrangement, through unlawful gifting, and home working, embezzlement. In some situations, an estate will be significantly depleted by a power attorney holder, leaving the heirs of the key with minimum inheritance. Different ways when a power of attorney may be abused include changing beneficiary designations on life insurance or annuities, and opening bank accounts with joint title or pay on death terms in favor of the agent. If people hate to learn more on The Gordon Law, P.C. - White Plains Estate Planning and Elder Law Attorney Division Is Now Serving Clients In The Westchester County Area, we know of heaps of online libraries people might pursue.

The creation of the power of attorney may be challenged under the causes of lack of capacity or the creation did not follow proper formalities. Reasons may possibly exist to sue the agent for the get back of embezzled home or for monetary damages, If a validly given power of attorney continues to be abused from the agent. If the principal is still living at the time of the motion, the principal can sue the agent directly. In several situations, the power of attorney abuse is part of a broader pattern of elder abuse. In the event the key has died by the time the power of attorney abuse has been identified, the principal's estate or the intended beneficiaries of the house could be ready to sue the agent for breach of fiduciary duty, tortious interference with estate planning, or several of other causes of action.

Because of the potential for abuse using a power of attorney, their use should be limited. Many persons making a power of attorney can keep the instrument with the drafting attorney until the circumstances triggering the activation of the power have been triggered, such as the inability of the primary..