Power of Attorney

A Crucial Part of Every Estate Plan

A Durable Power of Attorney is a simple Estate Planning tool to help you arrange for someone to make your financial decisions if you are unable to for any reason. In the event you become incapacitated due to injury, disease, mental health issues or many other reasons, a Durable Power of Attorney will greatly assist your spouse, children or other loved and trusted individuals because in most instances, they will not have to ask a court to grant them power over your financial decisions. It is called a “Durable” Power of Attorney because, properly drafted, it should be in effect despite your incapacitation. Upon your selection of the person to oversee your affairs in the event you cannot manage them yourself, this person becomes your “Attorney-In-Fact.”

What is an Attorney-in-Fact?

After naming your agents in a power of attorney, you give that person or persons the legal authority to act on your behalf. In this usage, the word “attorney” is defined to include those who are legally authorized to act on your behalf. This attorney-in-fact has the legal duty to always keep your best interests in mind, maintain accurate records regarding your finances and property, and avoid conflicts of interest.

Most often, people give their attorney-in-fact wide-ranging power to oversee their property and finances. At The Law Offices of Adam Allen Arant however, we will draft your Durable Power of Attorney to only give that amount of power that you desire. Here are some examples of powers commonly given in Durable Powers of Attorney:

* Use your assets to pay you and your family’s monthly expenses

* Buy, sell, and maintain your real property

* Collect your Social Security, Medicare or other government benefits

* Maintain your investments, including stocks, bonds and mutual funds

* Oversee your banking and other financial transactions

* Preserve your insurance policies and annuities

* File your income taxes

* Oversee your small business

* Handle any property you may be entitled to inherit

* Transfer property to a trust you’ve already created

* Manage your retirement accounts

A Durable Power of Attorney may not be appropriate for you. In fact, we encourage you to speak with an attorney about the costs and benefits associated with granting someone power of attorney. Contact the Law Offices of Adam Allen Arant, in San Jose, California, to schedule a free initial consultation about whether a Durable Power of Attorney will work for you and your family.

Under California law, there are specific types of powers of attorney which may be granted:

* General Power of Attorney: Grants general power to a person to make decisions about all aspects of the person’s life.

* Limited Power of Attorney: Limits a person’s power to make decisions to specific areas.

* Healthcare/Medical Power of Attorney: Grants someone the ability to make decisions about medical treatment and end of life care.

* Financial Power of Attorney: Provides your named agent with the authority to make decisions about your financial affairs.

If you fail to grant someone a power of attorney, the State of California may appoint a guardian or conservator to make these decisions for you. However, the person appointed by the state may not be the person you would have selected. Thus, it is important to remain in control of these important decisions regarding guardianship.

Before our firm drafts your power of attorney, the Law Offices of Adam Allen Arant will sit down with you to discuss your needs and desires. If we determine a Durable of Power of Attorney is appropriate for you, we will discuss if it should be effective immediately, or only upon your incapacitation.

To learn more about powers of attorney, contact the Law Offices of Adam Allen Arant and schedule a free initial consultation. We counsel people throughout San Jose, San Francisco, Oakland, Sacramento, the greater Bay Area and all of Northern and Central California. Please call (530) 220-2172.