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Powers of Attorney

Many of us worry that as we grow older, we will become either too ill or too confused to handle our own affairs. As those affairs become more of a burden to us, we often have to turn to friends and relatives for help. Sometimes, however, we need a more long-term solution than this. It is then that we should consider giving a Power of Attorney to a close friend, relative, solicitor or other professional adviser. A Power of Attorney is a legal document, which enables your appointed Attorney(s) to act on your behalf. Such powers can be limited to a specific task e.g. selling your house, or can be completely free of any restriction and apply to all of your affairs.

Since October 1st 2007 the law has changed. Enduring powers of attorney have been replaced by Lasting Powers of Attorney. This document is approximately 24 pages long and instead of only needing one type, which covers all eventualities, there are two types, one for your health & welfare and one for your property. Enduring Powers of Attorney made before 1st October 2007 are still valid.

Receivership

If you lose your mental capacity and do not have an Enduring Power of Attorney in place, it will be necessary for someone (usually a member of your family) to apply to the Court of Protection (or Public Guardianship Office as they are otherwise known) to be appointed as your Receiver. Once appointed, the Receiver would be able to deal with your financial affairs under the strict rules and restrictions of the Court of Protection.

Receivership under the Court of Protection is far more restrictive than an Enduring Power of Attorney and the person appointed may not necessarily be the person you would have chosen. For this reason we highly recommend you make an Enduring Power of Attorney as soon as possible. This document can be used in the event that you become mentally unfit to control your own finances.

At Standley & Co our team can assist you through the complex procedure of applying to the Court to be appointed as Receiver and assist with ongoing matters after your appointment as Receiver has taken place. We can also advise you on Statutory Wills and applications to the Court of Protection for gifts or inheritance tax mitigation from the Patient’s finances.