Control Your Risk & Make Life Easier With A Special Power of Attorney
Understanding (Specific) Special Power of Attorneys
People in Alberta hear the word power of attorney and they usually understand that it is a document to let someone sign or make decisions on your behalf. Many clients are concerned to give to much power to one person with respect to their own affairs. The solution may be a specific or special power of attorney. This type of document gives special or specific powers to someone else to make decisions for you. Both a specific and a special power of attorney only give limited powers to the person you pick to act for you. The specific or special power of attorney can be as focused and limited as you want it to be. If you still need more information after reading this, call the lawyers at Kahane Law Office in both Calgary (403-225-8810) and Edmonton (780-571-8463).
Why Use A Special Power of Attorney
A special power of attorney is a good tool when you have a specific matter that you need someone to act on your behalf for. Frequently, a special power of attorney is used when the person who has to act, make a decision or sign paperwork is not available. This occurs when the person giving the POA is:
- Away on vacation
- Away on business
- Will be unable to travel to where a transaction is taking place
- Will be too busy to attend the specific location
Types of limits on a Special POA
No limits exist for how specific you set the controls in these documents. However, typically two types of limits frequently set controls for a specific or special power of attorney. For example, these two limits are generally related to:
Time Limitations
Time limits or duration frequently form a part of the controls in a special POA. In these situations the POA may be general as to a wide range of powers a person has. This special power of attorney may then limit for how long the attorney has that power for. For example, if the person giving the power will be on vacation for a week, this type of document may be specifically set to only be valid for that specific one week period.
Legal Limits To A Power of Attorney
There are also legal limits to any power of attorney. For example, your attorney lacks a legal ability to sign a will for you. They also cannot use the powers granted to them to make decisions for someone who gave you power of attorney for themselves. It is important to talk to a lawyer to fully understand what you can and cannot do with a POA so that you do not become unavailable with the false sense that everything is taken care of. Improperly using one often leads to personal liability to the person make the decisions.
Power Limits of A Special Power of Attorney
More frequent, there are specific limitations to a special POA. These limitations usually limit the scope of what a person can make decisions for. There is no limit as to how specific or limited the power in a special power of attorney is. By defining the powers very tightly, the POA will only be able to be used in a very limited fashion. This provides reassurance that the POA will not be abused for other reasons. To give someone the ability to deal with anything that you would be able to, you would need a general power of attorney. We have more information on general power of attorneys on YouTube.
Common Uses For A Special Power Of Attorney
While a specific power of attorney includes a very diverse range of uses, some come up more frequently than others. For example, the most common uses for them include:
- Selling real estate /real property / land;
- Buying real estate / real property / land;
- Mortgaging or financing real estate / real property / land;
- Making financial decisions;
- Managing assets;
- Managing a business or company;
- Paying off debts;
- Collection of money owed; and lastly
- Signing of agreements or contracts.
Frequent Problems
Unfortunately, the use of these documents give rise to problems. First, we raise the the issue of a improperly drafted document. Please see below for more information on that. Second, a person giving the power to make decisions on their behalf to another person must trust that person completely. The specific nature of this document allows for a controlled focus the permissions given. While the person acting has a fiduciary duty to the person giving control, frequent abuse of this mandate occurs often.
Using Templates Documents
Many people look tot he internet for templates for many types of documents. There is a risk associated with this. this is especially true of a specific or special power of attorney. The risk is that the form used may not be legal or valid in Alberta. Further, the specific nature of this type of document needs to be properly defined. Lastly, there are many legal specifics that need to be followed in order for the POA to be valid. This extends from the first draft to how the special power of attorney is signed. The cost of these documents is low and a lawyer properly drafting them is a good idea. Finding out at the last minute that the document is invalid, is often detrimental and costly.
Getting A Specific Or Special Power Of Attorney in Alberta
Prepare documents properly the first time. The POA lawyers at Kahane Law Office in our Edmonton and Calgary, Alberta locations want to help. Our firm understand that often time is of the essence for preparing these instruments. We often draft the specific or special power of attorney the same or the next business day. We offer low flat rate fess for these documents. Call today to learn more! 403-225-8810 or 780-571-8463 locally. Also feel free to reach us toll free at 1-877-225-8817, or email us directly here.