Q.What is a Power of Attorney?
A.A Power of Attorney is a legal document whereby the person signing the power of attorney gives another person the legal authority to make legally and/or financially binding decisions on his or her behalf. The legal authority granted can be general (broad) or limited to specific tasks. The authority granted depends on the specific language used in the Power Of Attorney.
The person who signs the power of attorney and is delegating his authority to another is commonly referred to as the "principal."
The recipient of the power of attorney who is given the authority to act on behalf of the principal is commonly referred to as the “attorney-in-fact” or "agent."
There are various type of power of attorney: General Power of Attorney, Special Power of Attorney, Durable Power of Attorney (remains in effect even if the principal becomes incapacitated or mentially incompetent), Non-Durable Power of Attorney and Springing Power of Attorney.