Powers of attorney are legal documents that authorize one adult to manage legal, medical or financial matters for another. Some people establish durable powers of attorney in case they become incapacitated as they age or undergo medical care.
Others establish financial power of attorney to ensure the protection of their resources in an emergency scenario. The agent or attorney-in-fact they name may have immediate access to and control over certain matters.
Those concerned about emergencies and future care needs but anxious about the risk of others abusing their power of attorney may want to draft springing powers of attorney for their optimal protection.
What makes springing documents different?
The primary difference between standard powers of attorney and springing powers of attorney is that springing powers of attorney require specific precipitating events. Frequently, that event is the incapacitation of the principal who drafted the documents.
When the circumstances meet the requirement established in the springing power of attorney, the agent can assume legal authority and begin managing medical or financial matters for the principal. For individuals with significant resources who may worry about others abusing the access permitted and authority delegated through powers of attorney, springing powers of attorney can offer peace of mind and protection from the potential misuse of those legal documents.
Reviewing estate planning needs and concerns with a legal professional can help people ensure that they draft the right documents given their personal needs. Springing powers of attorney can be a beneficial addition to an estate plan, perhaps especially for those with vulnerable assets, small businesses or unique medical preferences.