There are two types of Power of Attorneys “POA” – a General POA and a Limited POA. A General POA designates an individual, known as your attorney-in-fact or agent, to perform all of the non-health personal and business acts which you could do on your own and the performance of those acts is binding on you. A Limited POA deals with a specific transaction such as closing on the sale of a home when you are unavailable. You may name anyone as your attorney-in-fact. However, the key is to choose someone in whom you have absolute trust and confidence. Your PK Law Attorney, may serve as your attorney-in-fact. All attorneys-in-fact are subject to liability for harm caused by abuse of their power over your affairs.
Maryland law provides that a person (including banks, insurance companies and brokerage firms) must accept a form of financial power of attorney set forth in the law or one in “substantially the same form.” If not, the person refusing your POA may be ordered by a Court to accept it and may be held liable for the reasonable attorneys’ fees and costs incurred in an associated action or proceeding.
Why Use a PK Law Attorney to Prepare Your Power of Attorney?
Your PK Law Estate Planning Attorney will prepare a General POA for you which is “substantially similar” to that contained in the law, but which goes beyond the “Personal Financial Power of Attorney” set forth in the statute. The PK Law drafting attorney will ensure the form contains the crucial clauses needed to comply with your wishes including the ability to make gifts and powers crucial to the investment, insurance and banking industries, and accessing your medical records by your attorney-in-fact.
The statutory Limited Power of Attorney form, which is a check box form, is not generally recommended by PK Law Attorneys as it may not provide sufficient powers. A PK Law Estate Planning Attorney can draft a Limited POA that is specific to your needs and reflects the specific circumstances of the transaction.
A PK Law Estate Planning Attorney will generally recommend that you complete a General POA in conjunction with your overall estate planning.
