In North Carolina, a power of attorney (POA) is a legal document allowing you to appoint someone else to make decisions on your behalf. A POA can help if you cannot make decisions for yourself due to illness or injury. There are different types of POAs, and each one gives your agent different types of authority. In this article, we will discuss who can override the authority of your POA agent in North Carolina.
POA Agent Powers
The person you name as power of attorney is called your agent. Depending on the types of power you give in the POA you draw up with your attorney, your agent has different authority.
General Power of Attorney
With a general power of attorney, your agent can do almost everything you can legally do, from taking money out of your bank account to selling your home. However, their power ends if you become incompetent or incapacitated (unable to make your own decisions). You may also revoke this POA anytime you are of sound mind.
Durable General Power of Attorney
A Durable General Power of Attorney is a powerful legal document that gives your agent the authority to make decisions about everything even if you cannot do so yourself. This POA is comprehensive and will help ensure that your agent may continue to carry out your wishes even if you become incapacitated or incompetent.
You may revoke this type of POA if you are of sound mind. It automatically ends when you pass away unless the named agent is also the executor of your will or trustee of your estate.
Durable POA
A Durable POA covers specific types of powers, unlike the general POA, which covers almost every power. A durable POA remains valid even if you become incapacitated or incompetent. This type of power of attorney can help if you need someone to make decisions in a specific area for you, such as only your finances or specific only to your health care decisions. You can revoke this POA yourself if you are of sound mind. It ends when you pass away unless the named agent is also the executor of your will or trustee of your estate.
You Have the Power to Revoke Power
It’s understandable that you have questions about who can override a power of attorney in NC. As the person granting the power to your agent to make decisions for you, you can revoke your POA orally or in writing at any time. As long as you are of sound mind, you can remove or change your agent verbally. However, it is best to fill out a form for formal revocation of power of attorney.
The only time you may not revoke your POA would be if a court of law determines you are incompetent at the time of your revocation decision. For example, you could develop dementia with doctors agreeing about your incapacity to make decisions for yourself. In that case, the matter could end up in court with a judge deciding you may not revoke your durable general POA.
Any non-durable POA would automatically become invalid if you faced incompetence or incapacitation and would never end up in court for this reason.
The answer is pretty straightforward regarding who can override a power of attorney in North Carolina. The person who granted authority to the agent–in other words, you–has the final say in any and all decisions made by your agent. You can revoke or change your POA at any time as long as you are of sound mind.
Why Would Someone Want to Override a POA?
A POA can be a comprehensive and robust document. However, your agent is legally required to act in your best interest.
If you have a durable general power of attorney or a durable medical POA, your agent may care for your decisions if you become incompetent. In that case, a loved one might see an agent take advantage of your incapacitation or incompetence. If there is an outright abuse of power, your loved one may want to override the POA.
If your agent abuses their rights and responsibilities by neglecting or exploiting you, your loved one may see the abuse and challenge the POA in a court of law. The possibility of abuse or exploitation is why choosing someone trustworthy as your POA is crucial.
If you are incapable of revoking your medical or durable general POA due to medical incompetence, your loved one must provide evidence of the agent’s gross negligence or abuse. If the court agrees, they can remove the POA and give a court-ordered guardianship of you to someone else while the case is ongoing.
Choosing Your Agent With Care
Choosing your POA agent is a big decision. If they make a poor decision, it is your poor decision. You could face a difficult situation if an agent makes a poor decision in your name. You are legally responsible for decisions made in your name.
For example, if your agent buys a home with your bank account and has the authority to do so according to your POA, you cannot reverse what already happened. You have no legal standing to reverse legally binding decisions made by an agent under a POA that you signed.
Limits of POA Agent Rights and Powers
With power of attorney, you can give your agent powers to legally sign documents, make your healthcare decisions, and handle your financial transactions on your behalf. Who Can Override a Power of Attorney However, there are limits according to the type of POA you grant. There are also limits on any POA in North Carolina.
It is never legally possible for your agent to:
- Write your will or change it
- Act in a manner that is not in your best interest
- Make decisions after your death (unless they are also your will’s executor)
- Transfer the POA document’s power to someone else
Why Draw Up a Power Of Attorney?
A power of attorney has overwhelming benefits when you choose a trustworthy agent. This relationship can prevent a court from stepping in to declare a guardianship. It can also help if you need someone to make medical or financial decisions for you in the future.
Ensure that your attorney draws up the correct POA for your unique situation. If you don’t want your POA to have powers if you face incapacitation, you don’t want a durable general POA. You might want to give them the powers of a general POA instead.
We Can Help
At Cape Fear Law, we want to help you protect yourself and your loved ones. If you have any questions about who can override a POA in North Carolina, please contact our experienced estate planning legal team today. We would be happy to discuss your specific situation and provide guidance on the best way to protect yourself with estate planning legal frameworks.
Get in touch today to find out how a power of attorney may help you make the best plans for your future.