Do You Know The Role Of An Attorney?

When a person makes a power of attorney (POA), they appoint someone else to act on their behalf. The person making the power of attorney is called a donor and the person appointed to act on their behalf is called an attorney.

If an individual wants you to look after their financial affairs for a temporary period, they can give you an ordinary power of attorney. If they want you to look after their affairs for a long period of time, they can make a lasting power of attorney (LPA), of which there are two types: property and financial affairs LPA and health and welfare LPA.

Although a common request amongst family members, few people discuss the potential risks of agreeing to be someone’s attorney. Of course, it is understandable to want to take the pressure from a loved one but you should be aware of your legal duty of care obligations before you agree. These include:

• Acting in the donor’s best interest;

• Acting for the donor with the utmost good faith and wholeheartedly avoid situations where there is a conflict of interest;

• Ensuring you keep accurate records of dealings/transaction undertaken on the donor’s behalf and;

• Keeping your assets separate from their own.

If you don’t perform your duties, you could be ordered to compensate the donor for any losses they suffer. There can often be scrutiny from close friends and family of the donor regarding whether you are truly fulfilling your obligations.

Denzil Lush, retired senior Judge says, "lack of transparency causes suspicions and concerns which tend to rise in a crescendo and eventually explode." It is clear that any decisions you make regarding someone else’s property and financial matters must be done with clarity and confidence to protect yourself and also your relationships.

We can help you to ensure that matters are organised and simple to manage.

Please call 0117 363 6212 or email office@haroldstephens.co.uk for a relaxed chat about your situation.