Enduring Power of Attorney – What Is It and Who Is It Important For?
An enduring power of attorney is a legal document that allows a person to control their future – even if one day they lose the capacity to make decisions. Unlike the appointment of a guardian by a court, an enduring power of attorney is prepared in advance at the initiative of the person themselves, while they are still competent and of sound mind.
Why Should You Prepare an Enduring Power of Attorney?
Loss of decision-making capacity may occur due to illness, an accident, or cognitive decline. Without an enduring power of attorney, the family must apply to the court to appoint a guardian, a cumbersome process that can also be emotionally sensitive for the family. An enduring power of attorney allows you to decide in advance who will handle your affairs, under what conditions, and exactly how – while you are still fully in control.
Which Areas Can Be Regulated Through an Enduring Power of Attorney?
- Property and financial matters – management of bank accounts, assets, investments, payments, and debts. The appointed attorney-in-fact may be authorized to carry out actions such as selling property, handling rentals, or managing procedures such as registration of condominium buildings in the Land Registry.
- Personal matters – welfare, residence, employment, leisure, and quality of life.
- Medical matters – decisions regarding treatments, examinations, hospitalization, and advance medical directives for life-saving care.
Who Can Prepare an Enduring Power of Attorney?
Any person over the age of 18 who is legally competent and understands the significance of the document. The document may be prepared only with a lawyer who has received special certification from the General Guardian.
How Does the Process Work in Practice?
- A personal meeting with the principal, during which their wishes in the various areas are clarified.
- Drafting the document with precise details and appointing the attorneys-in-fact.
- An additional (joint) meeting with the attorneys-in-fact for explanations and signatures.
- Submission of the enduring power of attorney to the Ministry of Justice – and waiting for approval.
When Does the Enduring Power of Attorney Take Effect?
Only when the principal loses their capacity, in accordance with conditions set out in the document (for example, based on a medical opinion). Until then, the document “remains in a drawer” and is not activated.
Can an Enduring Power of Attorney Be Changed or Revoked?
Yes. As long as the principal is competent, it is possible to update the document, replace an attorney-in-fact, or revoke the document entirely.
What Is the Difference Between Guardianship and an Enduring Power of Attorney?
In guardianship, the court appoints a person to manage the affairs of someone who has lost capacity, even if there was no prior personal relationship. With an enduring power of attorney, the person themselves chooses in advance who will manage their affairs and specifies exactly how.
Who Is This Especially Important For?
- Adults over the age of 60
- People with chronic illnesses or genetic predispositions
- Parents of children with special needs
- Anyone who wishes to preserve their independence and prevent future family disputes
What Is Important to Know Before Signing?
- The attorneys-in-fact should be trustworthy individuals with management capabilities.
- It is important to clearly and explicitly state your wishes, so that there is no room for interpretation.
- It is advisable to appoint at least two attorneys-in-fact as a backup.
- Do not wait until the last moment – if there is doubt about capacity, it is already too late to sign.
