Written by Benjamin Kingsley
Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.
Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.
Financial powers of attorney can face significant challenges when used across different jurisdictions, whether between states or countries. One of the primary issues is that each jurisdiction may have its own laws and requirements governing powers of attorney, which can lead to conflicts or non-recognition in other locations.
A key concern is validity and recognition. A financial power of attorney that is valid in one state or country may not be automatically recognized or accepted in another jurisdiction. This can create problems if the principal (the person granting the power) owns assets or conducts business in multiple locations. Financial institutions or other entities may refuse to honor a power of attorney if it does not meet their jurisdiction’s specific requirements.
Another important cross-jurisdictional issue relates to execution formalities. Different jurisdictions often have varying requirements for how a power of attorney must be signed, witnessed, or notarized to be considered valid. For example, some states may require two witnesses, while others may mandate notarization. When crossing borders, these differing formalities can lead to questions about the document’s validity and enforceability.
The scope of authority granted in a financial power of attorney can also be a cross-jurisdictional concern. What is permissible in one jurisdiction may be restricted or prohibited in another. For instance, some jurisdictions may allow for very broad powers to be granted, while others may have strict limitations on what an agent can do, particularly regarding real estate transactions or gifting.
Revocation and termination of powers of attorney can present additional challenges across jurisdictions. The methods and requirements for revoking a power of attorney may differ, and ensuring that all relevant parties in different locations are properly notified of a revocation can be complex. Similarly, events that automatically terminate a power of attorney in one jurisdiction may not have the same effect in another.
Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.
Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.