Powers Of Attorney – An Essential Part Of Your Estate Plan
If you do not appoint someone to manage your finances and your health care should you become incapacitated, you risk the court appointing someone – possibly a stranger or a distant family member – to take control over your financial affairs and your health care decisions.
With help from two basic documents, you can put those fears to rest. Every person’s estate plan – regardless of wealth – should contain a health care power of attorney and a financial power of attorney.
At the Law Office of Adam S. Bernick, in Center City Philadelphia, we make these documents part of every estate plan we create. With compassionate questions and careful listening, we create powers of attorney that are as simple or as complex as necessary to meet our clients’ goals and clearly express their wishes.
To schedule a complimentary consultation and begin creating an estate plan, contact our estate planning office to make an appointment with one of our Philadelphia powers of attorney lawyers.
Health Care Power Of Attorney Vs. Financial Power Of Attorney
A financial power of attorney is a document in which you designate a specific person to have the authority to make financial transactions and decisions on your behalf. Financial powers of attorney may be limited in scope, or they may be general – giving the designated person full control over your financial affairs.
Financial powers of attorney may also be limited in duration, or they may be infinite (these are known as durable powers of attorney). They may also be written to take effect only in the event you become disabled or otherwise incapable of making such decisions on your own behalf.
Like a financial power of attorney, a health care power of attorney designates a person to make health care decisions on your behalf if you become incapable of communicating your wishes. This person is often called the “health care agent.” Like financial powers of attorney, medical powers of attorney may be limited or general in scope.
Do you have questions about the validity of a power of attorney? Our attorneys are experienced in probate litigation and are available to give legal counsel during disputes involving powers of attorney.
Philadelphia Power Of Attorney FAQs
Families across Philadelphia often have similar questions about powers of attorney. Our lead attorney, Adam Bernick, has provided very helpful answers to these concerns.
Can I challenge or dispute a power of attorney (POA) in a Pennsylvania court?
Yes, under Pennsylvania law, you can challenge or dispute a power of attorney through the Orphans’ Court division in the county where the principal resides. There are several grounds for contesting a power of attorney, including:
- Lack of mental capacity: The principal did not fully understand the nature of the document at the time it was executed
- Undue influence or fraud: The principal was a vulnerable individual who was pressured into signing the power of attorney
- Not properly executed under Pennsylvania law: Powers of attorney must be signed, dated, notarized and witnessed by two adults
- Conduct of the agent: The agent did not act in good faith and in the principal’s best interests
Pennsylvania law has very strict rules regarding who can challenge a power of attorney. Those allowed include:
- The principal
- A court-appointed guardian
- Legally appointed fiduciaries of the principal
- Certain government agencies
Family members may petition the court for guardianship if they believe a loved one is being financially exploited. Our estate planning lawyer can help you pursue appropriate legal remedies in Pennsylvania courts.
When can a power of attorney take effect in Pennsylvania?
Under Pennsylvania law, a power of attorney becomes effective immediately after it is properly signed and executed unless it specifically states otherwise. For instance, a durable financial power of attorney becomes active immediately upon signing. It allows the appointed agent to assist with financial or legal matters, even while the principal remains fully capable of managing their own affairs.
However, a springing power of attorney can only take effect after a specific triggering event occurs. For example, when a physician determines that a principal can no longer manage their own affairs due to incapacity. On the other hand, healthcare powers of attorney can become effective when the principal is unable to communicate or make medical decisions.
Our lawyer can help you determine which tool is best depending on your circumstances.
In a power of attorney, can I grant my agent rights to make both financial and medical decisions?
No, you cannot authorize someone to make both financial and healthcare decisions on one power of attorney. Instead, you should grant these powers through two separate legal documents, which are the financial power of attorney and the healthcare power of attorney.
Pennsylvania law treats financial and healthcare authority separately because each involves different legal rights and responsibilities. Our firm helps you prepare customized documents that reflect your wishes.
Compassionate Counsel About Powers Of Attorney
To craft powers of attorney, a family should first spend some time considering all the issues and talking amongst themselves about their preferences. Our law firm can mediate these discussions, or we can provide you with basic information and leave you to make the necessary decisions in private. We will then draft sound planning documents that clearly state your wishes.
Don’t risk your independence by failing to develop the necessary powers of attorney. To begin the process, contact the Law Office of Adam S. Bernick for a free consultation: 215-645-7866.