What is a Power of attorney?
A power of attorney is a legal document that allows you, known as the “principal”, to grant
another individual, known as the “agent”, the authority to act on your behalf. The power of
attorney may specify what exactly the agent is authorized to do, or it may be a bit broader in
nature. You may have a durable power of attorney, which means that the power of attorney
exists beyond the principal’s incapacity; or you may have a nondurable power of attorney which
terminates at the incapacity of the principal.
Why should I update my power of attorney?
There are plenty of reasons why you should update your power of attorney. The following are a
few examples of why you might want to update your power of attorney:
➔ Circumstances may change in your life and prompt you to change the authorized agent.
➔ There are recent changes in your finances and health.
➔ Your desires and wishes have changed.
➔ To ensure compliance with the latest legislation in your state.
➔ Your minor children are now adults and going away to college.
What was the latest update to Florida’s Power of Attorney Statute?
In 2011, Florida adopted the majority of the Uniform Power of Attorney Act in an effort to
promote consistency of power of attorney laws amongst the states. The Florida Power of
Attorney Act went into effect on October 1, 2011.
What changes did the Florida Power of Attorney Act make?
The Florida Power of Attorney act made several changes, but the most important are as follows:
➔ The powers granted under the power of attorney must be more specific than before. It is
no longer acceptable to have vague provisions such as “agent may do anything principal
would be able to do.”
➔ Agents are now able to be compensated for any expenses incurred from acting for the
principal.
➔ Both durable and non-durable power of attorneys need to be signed before two witnesses
and must be notarized.
➔ The power of attorney must be effective immediately. Prior to this “springing” power of
attorneys became effective once the principal was incapacitated, this is no longer
acceptable.
➔ Copies and electronic versions of an original power of attorney are acceptable in place of
the original copy. However, an original copy must be used when power of attorney is
used to convey over property.
➔ Agents can now act independently. The older version of this statute used to require that
agents act unanimously or by majority vote.
➔ The principal now must sign or initial next to powers granted to the agent that can have a
lasting effect on their estate plan.
If you have a Power of Attorney document that was created before 2011 or you have had any life
changes listed above, reach out to our office to schedule a preliminary consultation. EPGD
Business Law is located in beautiful Coral Gables. Call us at (786) 876-7681, or contact us
through the website to schedule a consultation.
