Power of Attorney in AZ

By Mary Jane Freeman

Occasionally, an individual might want to authorize another person to act on his behalf, sometimes out of convenience, for estate planning purposes, or as a protective measure in the event of incapacity. Whatever the reason, Arizona makes it easy for residents to grant such authority with an instrument known as a power of attorney. With a POA, you can give a third party the power to make financial decisions for you. The authority you give that person can be as broad or as limited as you wish.

Occasionally, an individual might want to authorize another person to act on his behalf, sometimes out of convenience, for estate planning purposes, or as a protective measure in the event of incapacity. Whatever the reason, Arizona makes it easy for residents to grant such authority with an instrument known as a power of attorney. With a POA, you can give a third party the power to make financial decisions for you. The authority you give that person can be as broad or as limited as you wish.

Duration

A power of attorney is created when one person, known as the principal, authorizes an agent, or attorney-in-fact, to enter into financial transactions on his behalf. In Arizona, as in all states, powers of attorney may be either durable or nondurable. A durable POA does not terminate when the principal becomes incapacitated or can no longer make decisions for himself. The agent maintains his authority to act on the principal's behalf. You can also create a durable POA to go into effect only when you become incapable of making decisions for yourself. On the other hand, when a POA is specifically nondurable, it immediately terminates upon the incapacity of the principal. Unless your POA contains language expressly designating it as durable, it will be treated as nondurable under Arizona law. In most cases, POAs terminate upon the death of the principal; they are not substitutes for wills.

Ready to appoint a power of attorney? Get Started Now

Powers

It is essential to choose an agent who is trustworthy, such as a trusted family member or friend. This is because your agent must act in your best interests and not engage in transactions that are self-serving. When deciding on what powers to grant your agent, Arizona law allows you to be as broad or as specific as you like. For instance, you might limit your agent's powers to signing Social Security checks or paying bills from a specific bank account. Or, you can give your agent broad powers such as the authority to engage in any and all financial transactions that you can enter into yourself. You can also specify that the POA will go into effect immediately, on a certain date, or upon the occurrence of a particular event.

Requirements

To establish a power of attorney in Arizona, you must follow certain formalities. First, as the principal, you must be at least 18 years of age and of sound mind, meaning you must be mentally competent and understand what you're doing. Next, your POA must be in writing. Lastly, you must sign the POA in the presence of a notary public and one witness. The witness cannot also be the notary or the agent's spouse or child. Although it is not required, except for POAs that involve real estate transactions, you can record the document at the county recorder's office for public record.

Revocation

As the principal, you have the right to revoke a power of attorney at any time. To adequately revoke your POA in Arizona, you must make your revocation in writing and deliver it to your agent. If possible, you should retrieve the original POA and destroy it. If you don't wish to draft your own revocation, you can obtain a blank revocation form from an Arizona state or county website, or from an online legal document service. You should give a copy of the revocation to any parties or businesses that had the original POA. If you recorded the POA at the county recorder's office, you must also record the revocation there.

Ready to appoint a power of attorney? Get Started Now
North Dakota Power of Attorney Laws

References

Related articles

Can a Power of Attorney Be Non-Durable & Non-Revocable at the Same Time?

A power of attorney, or POA, is a legal document that grants another person the authority to manage finances on your behalf. The person granting the authority is known as the principal while the agent, or attorney-in-fact, acts on behalf of the principal. The principal may give the agent power to perform only specific tasks, such as filing taxes, or grant broad authority to take care of all of the principal's financial matters. Because non-revocable POAs are generally reserved for business circumstances, personal POAs are rarely non-revocable.

Guidelines for Assuming Power of Attorney

Becoming an agent through a power of attorney is an important undertaking since it involves managing the affairs of another person. Several considerations must be taken into account by the principal when drafting a POA and limiting the actions an agent may take, including designating the triggering event for when the agent takes over the principal's affairs, the breadth of the agent's authority, and under what circumstances the agent's powers terminate.

Definitions of Durable and Non-Durable Power of Attorney

A power of attorney, or POA, grants an individual (“agent”) the legal authority to make decisions on behalf of another individual (“principal”). The decision can involve legal, financial or health matters. The power of attorney may be limited in scope; it may also be more general, allowing the agent a wide range of legal powers. A durable power of attorney refers to the agent’s authority when the principal is incapacitated.

Related articles

A Durable Power of Attorney for the State of Virginia

People create powers of attorney for many reasons, from estate planning to preparing to be hospitalized. As a Virginia ...

When Does a Durable Power of Attorney Cease in Arizona?

A durable power of attorney in Arizona is defined as a power of attorney that remains in effect after the person who ...

Selling Property & Limited Power of Attorney

Generally, a power of attorney document gives authority to another person, known as your agent or attorney-in-fact, to ...

Can You Give a Power of Attorney to Someone to File for a Divorce?

Powers of attorney are not one-size-fits-all documents. Their terms are subject to the wishes of the person granting ...

Browse by category