Power of Attorney Abuse

Suppose your Aunt Gertrude can use help with around the house. She isn’t as spry as she used to be. She likes living in her own house, but she needs some help. Physically. She needs help at the grocery store. Some days, her rheumatism is so bad that she doesn’t want to go. She could use a helping hand.

So her niece Milly offers to lend a hand. “Isn’t it nice of Milly to give up her Saturday afternoon to help poor, sweet Aunt Gertrude?” The neighbors all think it’s so sweet.

And it probably is. Most of us love helping our […]

Our blog features the fictitious story of Aunt Gertrude and her niece Milly who serves as her attorney in fact through the power of attorney document. The question must be raised in each such situation — Was Aunt Gertrude aware of what she was signing? Did Milly or the attorney thoroughly explain the document which she was signing? What were the circumstances surrounding the signing of the power of attorney document? We will address this last question first.

Any person signing, also referred to executing, a legal document must be aware of what it is he or she is signing. The […]

“The best thing for Aunt Gertrude would be to have someone help her, to look out for her, you know. . .help her with her check book and what not.” This comment, or one like it, is often what you hear at a family gathering after dear Aunt Gertrude toddles past with her walker or leaning on her cane. With the Fourth of July just past, you may have been a part of a similar conversation.

So Aunt Gertrude appoints her dear niece Milly as her attorney-in-fact, often referred to as her power of attorney. Milly’s attorney drafts a standard power […]

When choosing a person to be her attorney in fact, our Aunt Gertrude (read prior posts to learn more about our dear Aunt Gertrude) must find the person whom she trusts. Aunt Gertrude has to be comfortable with having this person make decisions that are in her best interest.

Last time we discussed some of the checks and balances that are already in place. . .the Agent (in our case, Aunt Gertrude’s niece Milly) must take actions which are in her aunt’s best interest. The agent must be loyal to her aunt and be ready to give an accounting for all […]

We have been discussing Aunt Gertrude and Milly, our principal and attorney-in-fact, and the ways which Milly is limited by the power of attorney document. I earlier made the comment that “The real problem is that no one knows exactly what Milly is doing. And Milly has no oversight.” Actually, Pennsylvania’s statutes (chapter 56 of Pennsylvania Statutes, Title 20) do contain certain provisions which are designed to give some protection to the person appointing an attorney-in-fact.

To begin with, an Agent’s Acknowledgement must be included in each power of attorney document, wherein the agent (another name for the attorney in […]

Having named her niece Milly as her Attorney in Fact, Aunt Gertrude feels so much more secure knowing that there is someone who will ‘look out’ for her in the future. And the family members are all so proud of Milly for stepping up to the plate to help. Aunt Gertrude’s bills are being paid on time, she has a quiet confidence in Milly plus she has the peace of mind knowing that Milly is looking out for her best interests.

So who is keeping an eye on Milly?

“Oh, we don’t have to […]