Georgia has recently enacted a new statutory form for powers of attorney in O.C.G.A. section 10-6-142. In the Code section just before that one, O.C.G.A. section 10-6-141, the legislature has codified an explanation of what appear to be Frequently Asked Questions about powers of attorney to be read by principals (the person giving the power to another person (the attorney in fact or agent).
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WHAT IS A FINANCIAL POWER OF ATTORNEY?
This document is
called a "Financial Power of Attorney." It allows you to name one or
more persons to help you handle your financial affairs. Depending on
your individual circumstances, you can give this person or persons
complete or limited power to act on your behalf. This document does not
give someone the power to make medical decisions or personal decisions
for you.
WHAT CAN MY AGENT DO?
The "Agent" is the person you give power to handle your financial affairs.
The "Principal" is you.
Your
decision to use this document is a very important one and you should
think carefully about what financial decisions you want your Agent to
make for you. With this document, you can give your Agent the right to
make all financial decisions or only certain, limited decisions.
For
example, you can allow your Agent to handle all your financial affairs,
including the power to sell, rent, or mortgage your home, pay your
bills, cash or deposit checks, buy and sell your stock, investments, or
personal items, or you can allow your Agent to handle only certain or
specific financial affairs such as to pay your monthly bills.
DO I GIVE ALL MY POWERS AWAY?
No. Even with this document, you can still handle your own financial affairs as long as you choose to or are able to.
You
need to talk to your Agent often about what you want and what he or she
is doing for you using the document. If your Agent is not following
your instructions or doing what you want, you may cancel or revoke the
document and end your Agent's power to act for you.
HOW DO I REVOKE MY FINANCIAL POWER OF ATTORNEY?
You may revoke your financial power of attorney by writing a signed and dated revocation of power of attorney
and giving it to your Agent. You should also give it to anyone who has
been relying upon the financial power of attorney and dealing with your
Agent, such as your bank and investment institutions.
Unless
you notify all parties dealing with your Agent of your revocation, they
may continue to deal with your Agent. You should contact a lawyer if
your Agent continues to act after you have revoked the power of
attorney.
WHEN DOES MY AGENT'S AUTHORITY END?
As
long as you are living, the financial power of attorney will remain in
effect even if you become incapacitated or unable to communicate your
wishes unless:
(1) A guardian is appointed for your property; or
(2) You include a date or specific occurrence when you want your document to be canceled.
However,
upon your death or the death of your Agent or successor Agents, the
document will be canceled and the Agent's power to act for you will end.
You
can also include a date or a specific occurrence like your incapacity
or illness as the time when you want your document to be canceled and
your Agent's power to act for you to end.
WHEN DO THE POWERS TAKE EFFECT?
Depending
on your circumstances, you may wish to specify an occurrence or a
future date for the document to become effective. Unless you do so, it
becomes effective immediately.
MUST MY AGENT DO THOSE THINGS I AUTHORIZE?
No.
But if your Agent accepts this responsibility and agrees to act for
you, he or she is required to sign and date the "Acceptance of
Appointment" contained in the financial power of attorney form.
HOW DO I COMPLETE THIS DOCUMENT?
Both
the Principal and the Agent should read the full document carefully
before initialing or signing. The Principal and the Agent should fully
understand what powers are being granted to the Agent and what
restrictions, if any, exist.
Read each paragraph
carefully. If you decide to give your Agent the power described in the
paragraph, initial your name at the end of the paragraph.
If
you do not wish to give your Agent the power described in a paragraph,
strike through and initial the paragraph or any line within a paragraph.
HOW DO I EXECUTE THE DOCUMENT?
Two
adult witnesses must watch you sign your name on the document. At least
one witness cannot be the Principal's spouse or blood relative. After
they witness you signing your name, the witnesses must sign their names.
This
document does not need to be notarized unless real property
transactions such as leasing, selling, or mortgaging of property are
authorized.
THIS DOCUMENT REFLECTS THE WISHES OF THE PRINCIPAL.
Do
not let anyone pressure you into making a financial power of attorney,
naming an Agent, or granting a power unless it is your choice.
If you do not understand any portion of this document, you should ask a lawyer to explain it to you.
SOURCE: Official Code of Georgia Annotated, Section 10-6-141.
