Powers of Attorney

A “Power of Attorney” is a document that gives a person power or authority to do something for another person.  For instance, you can use a Power of Attorney to give to your son or daughter the authority to write checks for you or to sell your property.

The person who gives someone else a Power of Attorney can decide how much authority to give to that other person, who is usually called an “agent.” For instance, you can limit the authority so that the agent can only sign checks for you or can only sell your property. Or, a Power of Attorney can be general, allowing the agent to do everything for you.  You can also set the length of time the agent has authority. For example, it could be as short as a few weeks while you are out of the country.

Usually, if you become incapacitated, your agent has no further authority to act for you once she learns of your condition.  But in Utah, the law allows you to create a durable Power of Attorney that remains valid even after you become disabled (that is, mentally incapacitated).  The law also allows you to create a Power of Attorney that becomes effective only if you become so disabled that you can not handle your own financial affairs.  If you create that type of Power of Attorney, the document usually will require that your disability be determined by two licensed physicians, one of whom regularly sees you.

If you create a Power of Attorney you should be very careful when choosing your agent.  It should be someone you know is honest and whom you trust to act in your best interests.  Before you name someone as your agent, you should talk to that person about it, and get her consent to act as your agent.  The person you choose as your agent should know that she has a duty of trust and must always act in your best interests. 

The person you choose to be your agent should be given the original signed Power of Attorney document so she knows the limits of the powers given and so she can prove to others, such as your bank, she has authority to act for you. 

You must be mentally competent to sign a legally effective Power of Attorney. That is, you must be aware of what you are doing and understand the powers you give to your agent.  The agent also must be mentally competent.  If you are not mentally competent when you sign a Power of Attorney, a court can review everything the agent does for you. 

So long as you are mentally competent, you can take away the agent's authority. Upon your death, or your agent’s death or incapacity, the validity of a Power of Attorney ends.

If the power of attorney includes the authority to transact business in connection with real property, then the power of attorney should be filed with the County Recorder of the County where the property is located.  Conversely, if you revoke the power of attorney with a provision concerning real property then you should also file a revocation with the same County Recorder’s office.