Power of Attorney Abuse - Customer Beware
De BISAWiki
A power of attorney can be used to assign legal authority to a different person. Dig up more on guide to divorce attorney by navigating to our ideal portfolio. The key (the individual giving the power of attorney) provides the agent, also referred to as the attorney-in-fact, the authority to produce appropriate decisions on his/her behalf, including handling bank accounts, property, and other assets.
The prospect of fraud exists in every power of attorney agreement, through home dealing, embezzlement, and unlawful gifting. In some situations, a of attorney holder may somewhat diminish a property, making the heirs of the principal with little if any inheritance. For a different interpretation, we recommend you take a view at: source. Alternative methods when a power of attorney could be abused include changing beneficiary designations on life insurance or annuities, and opening bank accounts with combined name or pay on death conditions in favor of the agent.
The creation of the power of attorney might be challenged under the causes of lack of capacity o-r the creation didn't follow proper formalities. If your validly granted power of attorney is abused by the agent, grounds might exist to sue the agent for the reunite of embezzled house or for monetary damages. If the principal is still living at the time-of the motion, the principal can sue the agent immediately. In several circumstances, the power of attorney abuse is part of a larger sample of elder abuse. In the event the key has passed away from the time the power of attorney punishment has been identified, the principal's estate or the intended recipients of the house may be ready to sue the agent for breach of fiduciary duty, tortious interference with estate planning, or several of other causes of action.
Due to the possibility of abuse with a power of attorney, their use must be limited. Divorce Attorney Ventura Discussion includes supplementary information concerning the meaning behind this hypothesis. Many people creating a power of attorney can keep the instrument with the drafting attorney until the conditions causing the activation of the power have been induced, such as for example the inability of the key.
