Chicago, Illinois Power of Attorney Lawyers in Cook County

Chicago Power of Attorney From Our Office in Rolling Meadows

There are times in life when we may be unable to represent ourselves and manage our affairs. Because of something like illness, aging, disability, remote travel, or recovery from a surgery, we might not be able to do something like make sure that our bills are paid and finances are managed. We may also have concerns about being able to make the right medical decisions for ourselves.

If we don’t take precautions to address these things ahead of time, then our medical choices may be left up to relatives or medical staff if they can’t be reached. Our financial management could be left up to someone appointed by the state. Although we may trust these parties, we can’t always be sure that they would represent us as we would ourselves.

Fortunately, there is a way to prepare for these kinds of situations. By having a power of attorney agreement, we can determine who we would like to manage these affairs, make choices on our behalf, and generally direct those decisions.

What a Power of Attorney Does

A power of attorney is basically a document that legally transfers one individual’s right to represent themselves to another person. The scope, though, of those decision-making powers is limited. Typically, a power of attorney is kept within the financial or medical realm and, even within those matters, is further limited by what is written in the agreement. A power of attorney agreement will always describe two parties:

• The Principal – This is the individual who will assign an agent to represent them, describe what they want the agent to do, and sign the necessary documents
• The Agent – They are given the power of attorney and must execute it in the interests of the principal, according to the agreement

It is possible to name more than one agent in case either party may be unavailable. However, if the two agents conflict on a decision, then neither of them can act for the principal.

The agents will be limited based on the structure of the power of attorney document. Documents should be heavily personalized to the wishes of the principal, and they often include clauses and situationally specific instructions. This is why it is critical for anyone wishing to prepare a power of attorney document to work with a lawyer. At Stange Law Firm, we understand the importance of a power of attorney document being properly crafted, or else the wishes of the principal might not be followed through as they hoped. We can help you make sure that the document properly reflects your desires.

What a Power of Attorney Does Not Do

No matter how thorough a power of attorney document is, there are some limitations that everyone involved should be aware of before signing off on anything. These limitations include the following:

• Because agents are given some decision-making authority, they may end up acting, in some instances, in ways that the principal wouldn’t have wanted. A power of attorney is about trusting an individual to make decisions, but that’s no guarantee of the kind of decisions that they will make.
• The scope of an agent’s oversight and authority does not extend beyond the principal.
• An agent is prohibited from altering the principal’s will.
• Agents do not have ownership of the principal’s property.
• The agreement must be done on the proper forms.
• The power of attorney can only be transferred to another agent with the principal’s consent.

Who Can Be Named an Agent?

There are three general qualifications for someone to be eligible to be named as an agent on a power of attorney:

• They must be over 18 years of age.
• They must understand the requirements and legal implications of the role.
• They must demonstrate that they have the ability to make the decisions (medical, financial, or property) in the place of the principal.

Some other considerations that you may want to factor in are the reliability, trustworthiness, and geographical location of the individual you wish to name as an agent. It may also be worthwhile to name a successor agent in case something happens to your preferred agent.

Illinois Power of Attorney Requirements

For a power of attorney form to be recognized by the state of Illinois, it must meet the legal criteria that the state requires for a power of attorney. These requirements include:

• The principal’s signature
• A designated agent and the agent’s powers
• A demonstration of the principal’s sound mind when signing the agreement
• Signatures performed in front of a witness and notary public
• Specific statutory language
• Other requirements specific to either a financial or a medical power of attorney

Notarization and Witness Requirements

The state of Illinois requires that a power of attorney be signed in the presence of a public notary and at least one witness. If you want a power of attorney in Chicago, you will need to fulfill this requirement. However, there are some limitations around who can and cannot be your witness, as it can present a conflict of interest if a witness has some ulterior motive. The following parties cannot act as witnesses for your signing a power of attorney document:

• Anyone named as an agent or as a successor agent in the power of attorney document
• Neither you nor any of your agents’ or successor agents’ parents, siblings, children, or grandchildren — the spouses of any of these parties are also ineligible
• Your doctor or their relatives
• Your mental health service provider (therapist, counselor, etc.) or their relatives
• A patient at a health care facility, the owner of the facility, the operator of the facility, or any of their relatives

Types of Powers of Attorney

There are a few different types of powers of attorney that are available in Illinois:

• Limited Power of Attorney – Generally applying to a financial power of attorney, this grants the agent the ability to make certain transactions over a specified period of time
• Durable Power of Attorney – Grants broad powers to the agent and continues if the principal becomes incapacitated
• General Power of Attorney – Grants broad powers to the agent but ends if the principal becomes incapacitated
• Financial Power of Attorney – Grants the agent the ability to make specified financial decisions on behalf of the principal
• Medical Power of Attorney – Grants the agent the ability to make specified medical decisions on behalf of the principal
• Minor Power of Attorney – Appoints an agent to make decisions for a minor if a guardian is unavailable
• Tax Power of Attorney – Allows an agent to file taxes on behalf of the principal
• Vehicle Power of Attorney – Allows an agent to register and title vehicles on behalf of the principle

Starting and Ending a Power of Attorney

A power of attorney agreement should define how the agreement is triggered to take effect. There are two ways in which you can trigger a power of attorney:

• Immediately – Once all the parties have signed on to the agreement and all legal requirements are met, the power of attorney can take effect.
• Triggered – The agreement can outline a set of criteria that must be met before the power of attorney agreement takes effect. However, there can be issues with this method surrounding HIPAA/Privacy concerns, what is considered as incapacity, and their delaying your agent’s ability to take action in your stead.

There are a few different ways that a power of attorney can come to an end:

• The death of the principal will end the power of attorney, and an estate plan will replace it.
• The agent is unavailable, but naming a successor may minimize this risk. However, if they also are not available, the power of attorney will automatically end.
• If the principal is of sound mind, they may revoke the power of attorney at any time.
• A bank or other third party might also be concerned about fraud or abuse and reject the power of attorney.
• In rare cases, the courts may invalidate a power of attorney. Usually, this requires that the court finds that the principal was either not mentally competent or the victim of fraud or undue influence at the time of signing.
• In cases where the spouse of the principal has power of attorney, the agreement automatically ends with divorce. However, if there is a successor agent named, then that person will assume the role of agent.