Overall, a Durable Power of Attorney, if properly drafted, gives you the control over the person who will manage your affairs, should you be unable to, by virtue of unexpected mental condition.
Most states recognize Durable Powers of Attorney. However, like Durable Powers of Attorney for Healthcare, the laws in each state vary. Each state has their own requirements and limitations. Some states recognize that a Durable Power of Attorney will take effect immediately upon execution. This means that you should be extremely careful before you draft this document and have it executed.
You might wish to open a sample of a Special Durable Power of Attorney in a separate window to follow along with this discussion. You will need Adobe Reader to open this PDF. You may download it here.
You can specify that a person or persons has the power to act in your behalf with a Power of Attorney. Unlike the Durable Power of Attorney and Durable Power of Attorney for Healthcare, a General Power of Attorney is deemed, in most states, to be voided at either the death or incapacity of the person making the Power of Attorney, sometimes called the Principal.
Generally, a Power of Attorney gives a person the right in some capacity to act on your behalf in your affairs. A person with sound mind and no mental incapacity can give another person the authority to act for them. This power to act can be specific or general in nature. That is, you can give a person the power to sign your name to a loan document if you are out-of-state for example.
