Many people have already signed a power of attorney at some point: for a lawyer in a property deal, for a family member at the bank, or a notarized power of attorney before travelling. Hence a common mistake: “I already have a power of attorney for my children, so I’m covered.” In practice, a regular power of attorney and a continuing power of attorney are very different tools.
A regular power of attorney: for when you can supervise
A regular or notarized power of attorney authorizes someone to act on your behalf, usually for a defined action: selling an apartment, representation in a case, handling an account. It assumes you are able to supervise, instruct and revoke. It ends on death and is not designed for use when you can no longer understand. Many institutions, such as banks, refuse to act on it in that situation.
A continuing power of attorney: for when you cannot
A continuing power of attorney is designed precisely for the situation in which you can no longer understand and decide. It is prepared before an authorized lawyer, deposited with the Administrator General, and comes into force according to conditions you set. It can cover property, personal and medical matters, with detailed directives. On the conditions, see activating a continuing power of attorney.
A short comparison
- Purpose: regular – a specific action while you are competent. Continuing – managing your affairs when you cannot.
- Preparation: regular – usually no special requirements, or before a notary. Continuing – before a lawyer trained by the Administrator General (or, for medical-only, also before a doctor, social worker, psychologist or registered nurse).
- Registration: regular – no deposit. Continuing – deposit with the Administrator General.
- Scope: regular – mainly legal and financial actions. Continuing – also residence, welfare and medical care.
Do you need both?
Sometimes, yes. A regular power of attorney suits immediate actions, for example when you are abroad and someone needs to sign for you. A continuing power of attorney suits long-term planning. For families partly abroad, combining the two is especially common.
Where do you go from here?
Every person and every family is different, so a good continuing power of attorney is built around the assets, the family relationships and the wishes of the person granting it. At Paz Israel & Co. Law Office we draft continuing powers of attorney and advance directives, and we also support families when the document comes into force. For more information see our continuing power of attorney page, or contact us to schedule a meeting.
This article provides general information, is correct as of the time of writing, and does not constitute legal advice or a substitute for reviewing your specific circumstances.