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Loved One’s Friend Abusing a Power of Attorney

friend abusing a power of attorney

When your loved one’s friend abuses a power of attorney, that can mean serious financial consequences for your loved one’s well being and diminishes your future inheritance. A power of attorney gives your loved one’s friend the authority to make legal and financial decisions for your loved ones regarding such matters as bank accounts, the purchase and sale of real estate and the management, stock and bond transactions, retirement plans, investments and disposition of other assets. The power attorney doesn’t work for things such as voting, revoking or amending a will, divorce or marriage matters or fulfilling personal services under a contract matter.

A friend can be a neighbor, someone your loved one knows from church or other social situation. Sometimes fraudsters target elderly people and befriend them with the intention of defraud them and their heirs of their money. At other times, friends see an opportunity and cannot resist the temptation.

By creating a power of attorney and giving your loved one’s friend such important powers, your loved one exposed themselves to a potential for fraud, self-interest and embezzlement by your loved one’s friend. A situation where large sums of money and substantial assets are involved and readily accessible can create a temptation for your loved one’s friend. Children sometimes abuse their loved ones’ powers of attorney, when the elderly loved one needs elder care and are physically disabled or mentally incapacitated. A financially abusive friend could leave a your loved one’s estate and their heirs without any assets or inheritance.

A power of attorney is in effect until your loved one dies unless there is an expiration limit. Or, your loved one can revoke the power of attorney at any time by giving written notice to your loved one’s friend (hopefully with a copy of the notice to you). Abuses of powers of attorney by a friend can be financially and emotionally devastating to the loved ones, who may feel surprised and betrayed by this misconduct.

Since there is such a huge potential for disagreements and fraudulent acts to arise, creating a power of attorney can lead to potential future lawsuits if loved ones choose the wrong friend as the power of attorney. A loved one should carefully consider which one of their children (if any) should act as their power of attorney. If a loved one does decide to name a child as a power of attorney, they should pick the child who possess traits of trust, honor and integrity.

How can my friend abuse a power of attorney

• Opening joint banks accounts and naming the friend as a beneficiary or co-owner with right of survivorship
• Purchasing life insurance policies with your loved one as insured and naming the friend as a beneficiary or changing existing life insurance account beneficiaries
• Purchasing real estate with your loved one’s money and transferring title of real estate for the benefit of the friend
• Unauthorized gifting to the friend
• Outright theft by friend of the loved one’s property
• Unauthorized use by friend of credit cards or establishing credit under the loved one’s name

Can my friend go to jail for abusing a power of attorney?

Serious abuses generally involve state and/or federal crimes of embezzlement, theft, identity theft, fraud or forgery, but it is unlikely that your loved one’s friend will face jail time, as your loved one is unlikely to press charges against their child. However, your loved one’s friend can face fines as well as civil litigation and restitution of funds and property to your loved one’s estate and to you as a beneficiary.

What can I do if my friend is abusing a power of attorney?

Although your loved one can revoke the power of attorney that your loved one’s friend is abusing and can sue your loved one’s friend to get the money back, they are often too old and frail and don’t have the will power or sometimes even the mental capacity to bring a lawsuit. They also feel bad for the friend who took the money from them, thinking that they don’t want that child to get into any kind of trouble with the law. One option may be to obtain guardianship over your loved one. Once a guardian, you can bring a lawsuit against your loved one’s friend abusing the power of attorney on grounds that a fiduciary duty was broken, tortuous interference or other causes of action to get the embezzled funds or property returned to the loved one, and ultimately to benefit the estate and beneficiaries. There are some downsides to the guardianship proceeding, the most common downside being that your loved one can resent you for bringing a proceeding which compromises their independence. These matters are complex, time-consuming and most people require the assistance of an experienced New York probate estate litigation attorney to help resolve matters for them in court.

If you wish to speak to a New York estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233 or (718) 509-9774..

Caretaker Abusing Power of Attorney

caretaker abusing a power of attorney

When your loved one’s caretaker abuses a power of attorney, that can mean serious financial consequences for your loved one’s well being and diminishes your future inheritance. A caretaker can be a relative or a non-relative, including a nurse, health aide or a home-health aide. A power of attorney gives your loved one’s caretaker the authority to make legal and financial decisions for your loved ones regarding such matters as bank accounts, the purchase and sale of real estate and the management, stock and bond transactions, retirement plans, investments and disposition of other assets. The power attorney doesn’t work for things such as voting, revoking or amending a will, divorce or marriage matters or fulfilling personal services under a contract matter.

By creating a power of attorney and giving your loved one’s caretaker such important powers, your loved one exposed themselves to a potential for fraud, self-interest and embezzlement by your loved one’s caretaker. A situation where large sums of money and substantial assets are involved and readily accessible can create a temptation for your loved one’s caretaker. Children sometimes abuse their loved ones’ powers of attorney, when the elderly loved one needs elder care and are physically disabled or mentally incapacitated. A financially abusive caretaker could leave a your loved one’s estate and their heirs without any assets or inheritance.

A power of attorney is in effect until your loved one dies unless there is an expiration limit. Or, your loved one can revoke the power of attorney at any time by giving written notice to your loved one’s caretaker (hopefully with a copy of the notice to you). Abuses of powers of attorney by a caretaker can be financially and emotionally devastating to the loved ones, who may feel surprised and betrayed by this misconduct.

Since there is such a huge potential for disagreements and fraudulent acts to arise, creating a power of attorney can lead to potential future lawsuits if loved ones choose the wrong caretaker as the power of attorney. A loved one should carefully consider which one of their children (if any) should act as their power of attorney. If a loved one does decide to name a child as a power of attorney, they should pick the child who possess traits of trust, honor and integrity.

How can my caretaker abuse a power of attorney

• Opening joint banks accounts and naming the caretaker as a beneficiary or co-owner with right of survivorship
• Purchasing life insurance policies with your loved one as insured and naming the caretaker as a beneficiary or changing existing life insurance account beneficiaries
• Purchasing real estate with your loved one’s money and transferring title of real estate for the benefit of the caretaker
• Unauthorized gifting to the caretaker
• Outright theft by caretaker of the loved one’s property
• Unauthorized use by caretaker of credit cards or establishing credit under the loved one’s name

Can my caretaker go to jail for abusing a power of attorney?

Serious abuses generally involve state and/or federal crimes of embezzlement, theft, identity theft, fraud or forgery, but it is unlikely that your loved one’s caretaker will face jail time, as your loved one is unlikely to press charges against their child. However, your loved one’s caretaker can face fines as well as civil litigation and restitution of funds and property to your loved one’s estate and to you as a beneficiary.

What can I do if my caretaker is abusing a power of attorney?

Although your loved one can revoke the power of attorney that your loved one’s caretaker is abusing and can sue your loved one’s caretaker to get the money back, they are often too old and frail and don’t have the will power or sometimes even the mental capacity to bring a lawsuit. They also feel bad for the caretaker who took the money from them, thinking that they don’t want that child to get into any kind of trouble with the law. One option may be to obtain guardianship over your loved one. Once a guardian, you can bring a lawsuit against your loved one’s caretaker abusing the power of attorney on grounds that a fiduciary duty was broken, tortuous interference or other causes of action to get the embezzled funds or property returned to the loved one, and ultimately to benefit the estate and beneficiaries. There are some downsides to the guardianship proceeding, the most common downside being that your loved one can resent you for bringing a proceeding which compromises their independence. These matters are complex, time-consuming and most people require the assistance of an experienced New York probate estate litigation attorney to help resolve matters for them in court.

If you wish to speak to a New York estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233 or (718) 509-9774..

Cousin Abusing Power of Attorney

cousin abusing a power of attorney

When your cousin abuses a power of attorney, that can mean serious financial consequences for your loved one’s well being and diminishes your future inheritance. A power of attorney gives your cousin the authority to make legal and financial decisions for your loved ones regarding such matters as bank accounts, the purchase and sale of real estate and the management, stock and bond transactions, retirement plans, investments and disposition of other assets. The power attorney doesn’t work for things such as voting, revoking or amending a will, divorce or marriage matters or fulfilling personal services under a contract matter.

By creating a power of attorney and giving your cousin such important powers, your loved one exposed themselves to a potential for fraud, self-interest and embezzlement by your cousin. A situation where large sums of money and substantial assets are involved and readily accessible can create a temptation for your cousin. Children sometimes abuse their loved ones’ powers of attorney, when the elderly loved one needs elder care and are physically disabled or mentally incapacitated. A financially abusive cousin could leave a your loved one’s estate and their heirs without any assets or inheritance.

A power of attorney is in effect until your loved one dies unless there is an expiration limit. Or, your loved one can revoke the power of attorney at any time by giving written notice to your cousin (hopefully with a copy of the notice to you). Abuses of powers of attorney by a cousin can be financially and emotionally devastating to the loved ones, who may feel surprised and betrayed by this misconduct.

Since there is such a huge potential for disagreements and fraudulent acts to arise, creating a power of attorney can lead to potential future lawsuits if loved ones choose the wrong cousin as the power of attorney. A loved one should carefully consider which one of their children (if any) should act as their power of attorney. If a loved one does decide to name a child as a power of attorney, they should pick the child who possess traits of trust, honor and integrity.

How can my cousin abuse a power of attorney

• Opening joint banks accounts and naming the cousin as a beneficiary or co-owner with right of survivorship
• Purchasing life insurance policies with your loved one as insured and naming the cousin as a beneficiary or changing existing life insurance account beneficiaries
• Purchasing real estate with your loved one’s money and transferring title of real estate for the benefit of the cousin
• Unauthorized gifting to the cousin
• Outright theft by cousin of the loved one’s property
• Unauthorized use by cousin of credit cards or establishing credit under the loved one’s name

Can my cousin go to jail for abusing a power of attorney?

Serious abuses generally involve state and/or federal crimes of embezzlement, theft, identity theft, fraud or forgery, but it is unlikely that your cousin will face jail time, as your loved one is unlikely to press charges against their child. However, your cousin can face fines as well as civil litigation and restitution of funds and property to your loved one’s estate and to you as a beneficiary.

What can I do if my cousin is abusing a power of attorney?

Although your loved one can revoke the power of attorney that your cousin is abusing and can sue your cousin to get the money back, they are often too old and frail and don’t have the will power or sometimes even the mental capacity to bring a lawsuit. They also feel bad for the cousin who took the money from them, thinking that they don’t want that child to get into any kind of trouble with the law. One option may be to obtain guardianship over your loved one. Once a guardian, you can bring a lawsuit against your cousin abusing the power of attorney on grounds that a fiduciary duty was broken, tortuous interference or other causes of action to get the embezzled funds or property returned to the loved one, and ultimately to benefit the estate and beneficiaries. There are some downsides to the guardianship proceeding, the most common downside being that your loved one can resent you for bringing a proceeding which compromises their independence. These matters are complex, time-consuming and most people require the assistance of an experienced New York probate estate litigation attorney to help resolve matters for them in court.

If you wish to speak to a New York estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233 or (718) 509-9774..

Sister Abusing Power of Attorney

sister abusing a power of attorney

When your sister abuses a power of attorney, that can mean serious financial consequences for your parent’s well being and diminishes your future inheritance. A power of attorney gives your sister the authority to make legal and financial decisions for your parents regarding such matters as bank accounts, the purchase and sale of real estate and the management, stock and bond transactions, retirement plans, investments and disposition of other assets. The power attorney doesn’t work for things such as voting, revoking or amending a will, divorce or marriage matters or fulfilling personal services under a contract matter.

By creating a power of attorney and giving your sister such important powers, your parent exposed themselves to a potential for fraud, self-interest and embezzlement by your sister. A situation where large sums of money and substantial assets are involved and readily accessible can create a temptation for your sister. Children sometimes abuse their parents’ powers of attorney, when the elderly parent needs elder care and are physically disabled or mentally incapacitated. A financially abusive sister could leave a your parent’s estate and their heirs without any assets or inheritance.

A power of attorney is in effect until your parent dies unless there is an expiration limit. Or, your parent can revoke the power of attorney at any time by giving written notice to your sister (hopefully with a copy of the notice to you). Abuses of powers of attorney by a sister can be financially and emotionally devastating to the parents, who may feel surprised and betrayed by this misconduct.

Since there is such a huge potential for disagreements and fraudulent acts to arise, creating a power of attorney can lead to potential future lawsuits if parents choose the wrong sister as the power of attorney. A parent should carefully consider which one of their children (if any) should act as their power of attorney. If a parent does decide to name a child as a power of attorney, they should pick the child who possess traits of trust, honor and integrity.

How can my sister abuse a power of attorney

• Opening joint banks accounts and naming the sister as a beneficiary or co-owner with right of survivorship
• Purchasing life insurance policies with your parent as insured and naming the sister as a beneficiary or changing existing life insurance account beneficiaries
• Purchasing real estate with your parent’s money and transferring title of real estate for the benefit of the sister
• Unauthorized gifting to the sister
• Outright theft by sister of the parent’s property
• Unauthorized use by cousin of credit cards or establishing credit under the parent’s name

Can my sister go to jail for abusing a power of attorney?

Serious abuses generally involve state and/or federal crimes of embezzlement, theft, identity theft, fraud or forgery, but it is unlikely that your sister will face jail time, as your parent is unlikely to press charges against their child. However, your sister can face fines as well as civil litigation and restitution of funds and property to your parent’s estate and to you as a beneficiary.

What can I do if my sister is abusing a power of attorney?

Although your parent can revoke the power of attorney that your sister is abusing and can sue your sister to get the money back, they are often too old and frail and don’t have the will power or sometimes even the mental capacity to bring a lawsuit. They also feel bad for the sister who took the money from them, thinking that they don’t want that child to get into any kind of trouble with the law. One option may be to obtain guardianship over your parent. Once a guardian, you can bring a lawsuit against your sister abusing the power of attorney on grounds that a fiduciary duty was broken, tortuous interference or other causes of action to get the embezzled funds or property returned to the parent, and ultimately to benefit the estate and beneficiaries. There are some downsides to the guardianship proceeding, the most common downside being that your parent can resent you for bringing a proceeding which compromises their independence. These matters are complex, time-consuming and most people require the assistance of an experienced New York probate estate litigation attorney to help resolve matters for them in court.

If you wish to speak to a New York estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233 or (718) 509-9774..

Brother Abusing Power of Attorney

brother abusing a power of attorney

When your brother abuses a power of attorney, that can mean serious financial consequences for your parent’s well being and diminishes your future inheritance. A power of attorney gives your brother the authority to make legal and financial decisions for your parents regarding such matters as bank accounts, the purchase and sale of real estate and the management, stock and bond transactions, retirement plans, investments and disposition of other assets. The power attorney doesn’t work for things such as voting, revoking or amending a will, divorce or marriage matters or fulfilling personal services under a contract matter.

By creating a power of attorney and giving your brother such important powers, your parent exposed themselves to a potential for fraud, self-interest and embezzlement by your brother. A situation where large sums of money and substantial assets are involved and readily accessible can create a temptation for your brother. Children sometimes abuse their parents’ powers of attorney, when the elderly parent needs elder care and are physically disabled or mentally incapacitated. A financially abusive brother could leave a your parent’s estate and their heirs without any assets or inheritance.

A power of attorney is in effect until your parent dies unless there is an expiration limit. Or, your parent can revoke the power of attorney at any time by giving written notice to your brother (hopefully with a copy of the notice to you). Abuses of powers of attorney by a brother can be financially and emotionally devastating to the parents, who may feel surprised and betrayed by this misconduct.

Since there is such a huge potential for disagreements and fraudulent acts to arise, creating a power of attorney can lead to potential future lawsuits if parents choose the wrong brother as the power of attorney. A parent should carefully consider which one of their children (if any) should act as their power of attorney. If a parent does decide to name a child as a power of attorney, they should pick the child who possess traits of trust, honor and integrity.

How can my brother abuse a power of attorney

• Opening joint banks accounts and naming the brother as a beneficiary or co-owner with right of survivorship
• Purchasing life insurance policies with your parent as insured and naming the brother as a beneficiary or changing existing life insurance account beneficiaries
• Purchasing real estate with your parent’s money and transferring title of real estate for the benefit of the brother
• Unauthorized gifting to the brother
• Outright theft by brother of the parent’s property
• Unauthorized use by cousin of credit cards or establishing credit under the parent’s name

Can my brother go to jail for abusing a power of attorney?

Serious abuses generally involve state and/or federal crimes of embezzlement, theft, identity theft, fraud or forgery, but it is unlikely that your brother will face jail time, as your parent is unlikely to press charges against their child. However, your brother can face fines as well as civil litigation and restitution of funds and property to your parent’s estate and to you as a beneficiary.

What can I do if my brother is abusing a power of attorney?

Although your parent can revoke the power of attorney that your brother is abusing and can sue your brother to get the money back, they are often too old and frail and don’t have the will power or sometimes even the mental capacity to bring a lawsuit. They also feel bad for the brother who took the money from them, thinking that they don’t want that child to get into any kind of trouble with the law. One option may be to obtain guardianship over your parent. Once a guardian, you can bring a lawsuit against your brother abusing the power of attorney on grounds that a fiduciary duty was broken, tortuous interference or other causes of action to get the embezzled funds or property returned to the parent, and ultimately to benefit the estate and beneficiaries. There are some downsides to the guardianship proceeding, the most common downside being that your parent can resent you for bringing a proceeding which compromises their independence. These matters are complex, time-consuming and most people require the assistance of an experienced New York probate estate litigation attorney to help resolve matters for them in court.

If you wish to speak to a New York estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233 or (718) 509-9774.

Sibling Abusing Power of Attorney

sibling abusing a power of attorney

When your sibling abuses a power of attorney, that can mean serious financial consequences for your parent’s well being and diminishes your future inheritance. A power of attorney gives your sibling the authority to make legal and financial decisions for your parents regarding such matters as bank accounts, the purchase and sale of real estate and the management, stock and bond transactions, retirement plans, investments and disposition of other assets. The power attorney doesn’t work for things such as voting, revoking or amending a will, divorce or marriage matters or fulfilling personal services under a contract matter.

By creating a power of attorney and giving your sibling such important powers, your parent exposed themselves to a potential for fraud, self-interest and embezzlement by your sibling. A situation where large sums of money and substantial assets are involved and readily accessible can create a temptation for your sibling. Children sometimes abuse their parents’ powers of attorney, when the elderly parent needs elder care and are physically disabled or mentally incapacitated. A financially abusive sibling could leave a your parent’s estate and their heirs without any assets or inheritance.

A power of attorney is in effect until your parent dies unless there is an expiration limit. Or, your parent can revoke the power of attorney at any time by giving written notice to your sibling (hopefully with a copy of the notice to you). Abuses of powers of attorney by a sibling can be financially and emotionally devastating to the parents, who may feel surprised and betrayed by this misconduct.

Since there is such a huge potential for disagreements and fraudulent acts to arise, creating a power of attorney can lead to potential future lawsuits if parents choose the wrong sibling as the power of attorney. A parent should carefully consider which one of their children (if any) should act as their power of attorney. If a parent does decide to name a child as a power of attorney, they should pick the child who possess traits of trust, honor and integrity.

How can my sibling abuse a power of attorney

• Opening joint banks accounts and naming the sibling as a beneficiary or co-owner with right of survivorship
• Purchasing life insurance policies with your parent as insured and naming the sibling as a beneficiary or changing existing life insurance account beneficiaries
• Purchasing real estate with your parent’s money and transferring title of real estate for the benefit of the sibling
• Unauthorized gifting to the sibling
• Outright theft by sibling of the parent’s property
• Unauthorized use by cousin of credit cards or establishing credit under the parent’s name

Can my sibling go to jail for abusing a power of attorney?

Serious abuses generally involve state and/or federal crimes of embezzlement, theft, identity theft, fraud or forgery, but it is unlikely that your sibling will face  jail time, as your parent is unlikely to press charges against their child. However, your sibling can face fines as well as civil litigation and restitution of funds and property to your parent’s estate and to you as a beneficiary.

What can I do if my sibling is abusing a power of attorney?

Although your parent can revoke the power of attorney that your sibling is abusing and can sue your sibling to get the money back, they are often too old and frail and don’t have the will power or sometimes even the mental capacity to bring a lawsuit. They also feel bad for the sibling who took the money from them, thinking that they don’t want that child to get into any kind of trouble with the law. One option may be to obtain guardianship over your parent. Once a guardian, you can bring a lawsuit against your sibling abusing the power of attorney on grounds that a fiduciary duty was broken, tortuous interference or other causes of action to get the embezzled funds or property returned to the parent, and ultimately to benefit the estate and beneficiaries. There are some downsides to the guardianship proceeding, the most common downside being that your parent can resent you for bringing a proceeding which compromises their independence. These matters are complex, time-consuming and most people require the assistance of an experienced New York probate estate litigation attorney to help resolve matters for them in court.

If you wish to speak to a New York estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233 or (718) 509-9774..

Does an Out of State Power of Attorney Work in New York?

When you use an out of state power of attorney in New York, results can be unpredictable. People move to or from another state during their lifetimes. You need to update legal documents such as driver’s licenses, insurance, social security, etc. It’s a hassle, but it needs to be done. A thing you wouldn’t think of right away is a Power of Attorney, a Will, a Trust or any other estate planning documents.

Officially, a power of attorney that is appropriately signed in one state is valid in New York. For example, if someone correctly signed a power of attorney under Florida law, the agent would be able to use that form to conduct business within the state of New York. The person signing the power of attorney would not have to sign a separate New York form. In reality, though, many New York institutions will not accept an out of state power of attorney, even if it is officially valid.

When someone signs a power of attorney in one state and then moves to another state, that power of attorney would still be valid after they moved. An example of this is when the principal executes a valid power of attorney while a Florida resident and then moves to New York, the power of attorney would be valid in New York. However, when making such a move, it is advisable to talk to a New York estate attorney to discuss updating all of your estate plans after such a move to make sure that everything is up to date and best suited for New York law. Not only will this ensure that all the forms are proper, but there is less of a chance of someone in New York not honoring the power of attorney for being from out of state, regardless of validity.

What does not work, however, is executing a New York power of attorney in another state. If, for example, someone wants to sign the New York Power of Attorney statutory short form, they would have to do so within the state of New York. The principal would not be able to sign in Florida and still have the power of attorney be valid. However, it is still possible for the agent to sign and have his part of the power of attorney notarized outside of New York and still have the power of attorney be valid. It is the principal’s signature that must take place within the state.

While many people think of a power of attorney form to be something they can do themselves, the complexity surrounding both powers of attorney and estate planning in general means that it is best to have a New York estate attorney on your side to assist you and make sure it works.

Can a Power of Attorney Transfer a House to Themselves?

For years, the state of New York allowed quite a bit of leniency with the power given to an assigned agent, also referred to as a Power of Attorney. Unfortunately, this led to several incidences of criminal fraud. At the very least, it led to behavior and decisions that were unethical. In an effort to prevent misuse of power given to an agent, New York began creating legislation and amendments that prevented fraud at the cost of a vulnerable adult.

Changes Made to the General Obligations Law in Regards to Gifts and Transfers

The primary purpose for further evaluation, debate and law changes of the General Obligations Law (GOL) was to prevent fraud caused by greed. After a near 10 year back and forth debate, amendments have been made to ensure the protection of those who have given power of attorney to another. Now, property transfers and cash gifts have been limited. Additionally, gifts have a monetary limit.

Considerations that Required Allowances

Since the assignment of power of attorney is a vital part of estate planning, certain considerations had to be thoroughly evaluated. For instance, POA agents were often elected to handle financial matters. Additionally, many NYC individuals required cash gifts to certain charitable organizations as part of their personal wishes. To allow for agents to perform their duties, in regards to gifting and property transfers, additional forms were created.

Statutory Major Gifts Rider (SMGR) Grants Agents with Additional Power

Prior to the newly revamped GOL, those with power of attorney had complete freedom with all monetary matters. As of September 1, 2009, POAs have limited power, primarily they are allowed to make financial decisions and pay bills when needed. However, this standard wouldn’t be able to allow for the proper handling of many high-value estates.

To satisfy the needs of all estates, the SMGR was created. It allows POA agents special permissions, in accordance with the principal’s wishes. By having an SMGR in place, agents are able to complete gifting within normal behavioral history. For example, small gifts to family members, such as birthday gifts, can be completed each year. Charitable organizations, who typically receive large cash gifts, can continue to receive them through a POA agent, based on the previous history. Property transfers can also be handled as per the principal’s wishes.

Added Protection to Counter Fraudulent Actions

As a safeguard against fraud, the SMGR also enables a “freeze” to the power of attorney actions. This basically means that should an estate planner believe that the Principle’s wishes are being overlooked and that a POA agent is gifting in a way that would financially benefit them, all agent power can be immediately halted.

The Importance of Including an SMGR

Those who have elected to bypass the SMGR, are left without recourse. In other words, agent power will remain in effect until the power of attorney has ended. Additionally, in the event that a cash gift is desired to a select person or group, it’s limited to $500. This ensures that a power of attorney agreement can be used as intended, it’s wise to include an SMGR.

If you need help with a power of attorney in New York City, contact the Law Offices of Albert Goodwin at (212) 233-1233.

 

What Is a New York Springing Power of Attorney?

A Springing Power of Attorney, also known as a Power of Attorney to be Effective at a Later Time, is widely used in New York as a safeguard in the event of a disability. It allows someone close to you to make decisions for you in the event of your incapacity. It helps avoid a lapse in the management of finances and helps avoid an expensive and lengthy guardianship proceeding.

Let’s say that you become mentally incapacitated. Once your physician certifies that you are now mentally incapacitated and can no longer make legal and financial decisions on your own behalf, your Springing Power of Attorney springs into use so that your designated agent can now make those important decisions on your behalf.  Your family has the peace of mind that your needs are being taken care of and met.

A Power of Attorney is a legal document that gives someone legal authority to act on another person’s behalf. The maker is called the Principal, and the person receiving the authority is referred to as the Agent or Attorney-in-Fact. A Principal can give an agent broad or narrow powers.

A Power of Attorney can be used when someone is ill, disabled, out of the country, or unavailable. It can be used to make decisions for a person who became mentally or physically incapacitated, but one has to be careful when having people in those situations make a New York Power of Attorney, as they may lack capacity.

The power of attorney we are discussing is called the Springing Power of Attorney. A Springing Power of Attorney is a Power of Attorney that takes effect at a later date upon the condition of a certain event.

Other Types of Powers of Attorney

Nondurable Power of Attorney. A nondurable Power of Attorney becomes effective immediately and remains in effect until it is revoked by the Principal or the Principal becomes incapacitated or passes away. A Nondurable Power of Attorney can be used for a specific or special event. As an example, the Nondurable Power of Attorney is used frequently in connection with the sale of real property.

A Durable Power of Attorney becomes effective immediately and allows the agent to act on behalf of the Principal after the Principal becomes mentally incompetent or physically unable to make any decisions. The Power of Attorney remains in effect until it is revoked or upon the Principal’s death.
To reiterate, having a New York Springing Power of helps a person plan for the management of their affairs and helps the person’s family avoid the legal costs and time of having to go to court to have a guardian appointed.  Click here for more information on the uses of New York Power of Attorney.

A New York probate and estate attorney can prepare a Springing Power of Attorney or other Power of Attorney as well as assist with the drafting of a will and/or trust. A New York probate and estate attorney also represent executors or administrators of estates, beneficiaries and other interested parties to a New York estate in connection with probate and estate matters including will contests and estate tax matters.

If you wish to speak to a New York City estate attorney, call the Law Offices of Albert Goodwin at (212) 233-1233.

Uses of New York Power of Attorney

A Power of Attorney is a great tool to designate someone you trust to transact your business when you are unable to do so yourself.

Power of Attorney effective at a later time – We recommend having a “Power of Attorney effective at a later time”, also known as “springing power of attorney.” This kind of a power of attorney only kicks in upon disability and has no effect otherwise. Click here for information on how a Springing Power of Attorney can help in New York Estate Planning.

Power of Attorney for emergency situations – A power of attorney is also useful in emergency situations such as an illness, where a person knows that they are about to become disabled in a way that will make it difficult to make financial decisions.

There is a general Power of Attorney, a broad power that can be given for most legal or business transactions including the purchase and sale of real or personal property, managing financial accounts, paying bills or filing income tax returns. There is also a limited Power of Attorney, executed to serve a limited purpose and for a limited time.

For most people, it’s a great idea to have a power of attorney as part of their estate planning in case of an emergency or a short or long term disability or illness. They’re inexpensive and carry little or no risk.

Because New York’s power of attorney law recently changed, it’s not advisable to execute a form power of attorney sold in office supplies store, as those are not in compliance with the official New York power of attorney form.

If you wish to make a New York Power of Attorney, call the Law Offices of Albert Goodwin at (212) 233-1233.