Power of Attorney

As a protective measure against incapacity, an individual might wish to authorize someone else to act on their behalf for estate planning purposes. No matter the reason, the state of Arizona makes it possible for residents to allow such ability using an instrument called a “Power of Attorney”. Using a POA, you can appoint a third party to make monetary and/or health care choices for you.

DURATION

In all states, Powers of Attorney can be permanent or nondurable. Under a permanent POA, an individual can not make choices for themselves and it does not terminate when the principal becomes incapacitated. Unless your POA includes language designating it as long-lasting, it will be treated as nondurable under Arizona law. Generally, POAs terminate upon the departure of the principal—they are not replacements for Wills.

POWERS

Deciding on an agent who is trustworthy is crucial. Whether it be a family member or friend, your representative must act on behalf of your best interests. Arizona law enables you to be as comprehensive and specific as you wish when selecting what powers you allow your representative. For example, you might decide to restrict your representative’s powers to paying invoices only from a certain bank account or signing Social Security checks. Alternatively, you could choose to allow your agent a broader scope like the ability to take part in all monetary transactions. You can also choose to designate when the Power of Attorney becomes effective; instantly, on a specific date, or upon a specific occasion.

CONDITIONS

There are certain formalities that need to be followed to set up a Power of Attorney in Arizona. You must be 18 years of age and of sound mind—meaning you must have mental capacity and comprehension of what you are doing. Your POA should be in writing. Finally, the POA must be signed by you in the presence of one witness and a notary public. The witness cannot be the representative’s partner, child, or the notary. It is possible to record the POA with the county recorder’s office for public record, though it is not necessary unless the POA will affect real estate transactions.