Do businesses have to accept my power of attorney?
A business presented with a durable power of attorney (POA) must:
- within 10 days accept the power of attorney or reject the POA and provide a written explanation of the reason for the rejection;
- within 10 days request that the agent sign a certificate;
- within 10 days request that the agent provide an opinion of counsel; or
- within 5 days request an English translation if the power of attorney is in another language.
If a certificate or opinion is requested, the POA must be accepted or rejected within 7 business days after receipt of the requested document.
There are 11 statutory reasons a third-party can reject a power of attorney. The following are some of the reasons a third-party can reject a power of attorney:
- The third-party has good faith belief or knowledge that the POA is no longer valid,
- The agent is exceeding his or her scope of authority,
- Elder financial abuse is suspected
- The principal or agent is suspected of criminal activity,
- The transaction would violate Texas or federal law, regulation, or ordinance, or
- There is more than one agent and the third-party is receiving conflicting direction.
For a complete list of the statutory reasons a third-party can reject a power of attorney see Texas Estates Code 751.206 Grounds for Refusing Acceptance. If you believe your power of attorney is being wrongly denied, please speak with an attorney about your legal options.