Power of Attorney

January 26, 2022

Power of Attorney in Texas

What is a Power of Attorney?

A Power of Attorney is a legal document that gives someone else the legal power to act on your behalf.  The person appointed in the power of attorney is called the agent.  The person who signs a power of attorney making someone else their agent is called the principal.  A person does not have to be a lawyer to be appointed as an agent.

What are the types of powers of attorney?

Powers of attorney:

  • General power of attorney – a general power of attorney gives the agent the authority to act in a broad range of matters. A general power of attorney ends if the principal becomes mentally or physically disabled or incapacitated.
  • Durable power of attorney – a durable power of attorney is a general power of attorney, but continues if the principal becomes mentally or physically disabled or incapacitated.
  • Springing power of attorney – a springing power of attorney gives the agent authority only if and when the principal becomes disabled or incapacitated.
  • Medical power of attorney – a medical power of attorney gives the agent the authority to make medical treatment decisions for you if you come mentally or physically unable to make your own decisions.

    What are the legal requirements for executing a power of attorney?

    Below is a list of requirements for executing a power of attorney:

    • The power of attorney must be signed before a notary public;
    • You must be 18 years of age or older;
    • You must be of sound mind and know what you are doing when you sign the power of attorney; and
    • If you are entrusting your agent to conduct real estate transactions for you, the power of attorney document has to be filed with the clerk of each county where the property is located

    Can my agent tell me what to do?

    No. The power of attorney only allows your agent to do the things you want done for you. It does not limit your ability to do things for yourself.

    Does the power of attorney end?

    Yes. There are five instances when a power of attorney ends: it ends if it has an ending date; it ends when you become incapacitated if the power of attorney is not a durable one; it ends when you revoke it; it ends when a guardian of the estate is appointed for you; or it ends when you die.

    What is a durable power of attorney?

    A durable power of attorney does not end if you are incapacitated. A durable power of attorney and a general durable power of attorney are the same thing; the key word is durable.   A durable power of attorney can be for business and financial decisions.  There are certain requirements:

    • It must be in writing,
    • It must name the person that you want to be your agent, and
    • It must say how the power of attorney is to be used.
      • For example:
        • If you want a financial durable power of attorney to continue even if you become disabled, it must say:
          • “This power of attorney is not affected by subsequent disability or incapacity of the principal.”
        • If you want a financial durable power of attorney to start if you become disabled, it should say:​
          • “This power of attorney becomes effective on the disability or incapacity of the principal.”
    • It must be signed and notarized.

    Are there advantages of a general durable power of attorney?

    With a general durable power of attorney, you can say who you want to take care of everything if you cannot take care of your own affairs. If you have a durable power of attorney, the court may not have to name a guardian for you if you become incapacitated.  Be warned, however, that there is no law that requires a third party to accept a power of attorney.

    What happens if I have a durable power of attorney and the court appoints a guardian?

    Your general durable power of attorney ends if the court names a guardian of your estate.  If the court names a temporary guardian, your general durable power of attorney may be suspended.

    Can I stop a power of attorney?

    You have the right to end your power of attorney any time. This is called revoking a power of attorney. If the power of attorney is for a specific amount of time, it will end automatically. You must tell your agent that you are revoking the power of attorney. You must also tell the people working with the agent that you revoked the power of attorney.  It is best to prepare a sworn written statement of your revocation. You must have the mental ability to revoke a power of attorney. That is, you must be able to understand what you are doing.