Powers of Attorney
Estate Planning
Attorney, Ken Sheppard, Jr. is well versed in helping
individuals with establishing their powers of attorney.
Durable Power of Attorney
A Durable Power of
Attorney (also known as a Financial Power of Attorney) is an
authorization to act on someone else's behalf in legal,
business, or financial matters. The person authorizing the
other person to act is called the “Principal”. The person
authorized to act on behalf of the principal is called the
“Attorney-in-fact” or “Agent”.
A Durable Power of
Attorney is very broad and provides extensive powers to the
attorney-in-fact. Some of the powers you (as the principal)
can bestow upon your agent include:
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Handling bank transactions
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Entering safety deposit boxes
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Handling transactions involving
U.S. securities
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Buying and selling real and
personal property
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Purchasing life insurance
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Exercising stock rights
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Filing tax returns
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Handling matters related to
government benefits
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Entering into contracts
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Maintaining and operating
certain business interests
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Employing professional
assistance
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Making gifts
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Making transfers to revocable
("living") trusts
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Disclaiming interests
A Durable Power of
Attorney is usually used by your agent to handle your
financial affairs during any period of time when you are
unable to do so. For example, when you are traveling out of
the state or country or when you are physically or mentally
unable to handle your affairs, your durable power of
attorney permits your agent to conduct your business for
you.
You may also want to
limit the powers given to your agent by scope or by
duration. A Limited Power of Attorney specifies the powers
given to your agent for a certain period of time. For
example, you may wish to authorize your agent only to sell a
car on your behalf.
Health Care Power of Attorney
A Health Care Power of
Attorney is a document that allows you to designate a person
(referred to an "agent" or attorney-in-fact”) who will have
the authority to make health care decisions on your behalf
if you are unconscious, mentally incompetent, or otherwise
unable to make such decisions for yourself.
In Ohio, you can also
express your wishes regarding whether you wish to receive
"life-sustaining procedures" if you become permanently
unconscious or terminally ill in your Health Care Power of
Attorney document. However, please be aware that your
Health Care Power of Attorney is different from your
Living Will.
A Health Care Power of
Attorney allows you to appoint someone to make health care
decisions for you in situations where you are not
permanently unconscious or terminally ill. A Living Will
allows you to express your wishes concerning life-sustaining
procedures.
Both Living Wills and
Health Care Powers of Attorney are considered Advanced
Health Care Directives because you're giving instructions on
what you want to happen in the event that you become unable
to make health care decisions in the future. Even if you
have executed a Health Care Power of Attorney, you still
have the right to give medical directions to physicians and
other health care providers as long as you are able to do
so. This document becomes useful when you do not have the
capacity to give, withdraw or withhold informed consent
regarding your health care.
These powers of attorney
(Durable Power of Attorney and Health Care Power of
Attorney) contain special durability provisions. In the
event you become mentally incompetent while you have a power
of attorney in effect, the durability provision will allow
the powers to stay in effect during your incapacitation.
Conversely, you can also
sign a power of attorney that wouldn't go into effect until
a doctor certifies that you are mentally incapacitated.
This type of power of attorney is called a Springing Power
of Attorney.
You don't have to choose
an attorney to be your agent, but it is important to select
someone you trust. The relative or friend you choose to be
your agent will be acting on your behalf regarding your
financial or health care issues. You need to choose someone
who won't abuse the powers you grant to them, and will look
out for your best interests.
In general, an agent is
only held responsible for misconduct that's intentional, not
for unknowingly doing something wrong. This type of
protection is included in powers of attorney to help
encourage agents to accept the responsibility of being an
agent.
Generally, there is no
financial incentive to serve as an agent. Most agents serve
without compensation. If you should name a business (i.e. a
bank) as your agent, you can expect a reasonable fee to be
charged by the business to carry out its fiduciary duties.
If you wish to create or
modify your Estate Planning or if you need help navigating
through the nuances of Probate, Estate Administration, or
Taxation, remember that Attorney Ken Sheppard Jr., and his
staff, is here to assist you by ensure that your needs are
met along with fulfilling your goals.
Read more about the
different Estate Planning services we offer:
At Sheppard Law
Offices, Co., L.P.A. we listen, we advocate, and we care
about the individuals and families who come to our office.
Contact our Columbus (Westerville) or Newark Law Offices to
schedule a free one-half (1/2) hour initial consultation.
We look forward to serving you.
