When it comes to inheritance, properties, wills, testate and intestate matters, a power of attorney is important. It is even more important, and technical when it applies to marriage. Marriage in the eyes of the law is more solid than a rock. Let us know ‘Can Power Of Attorney Override A Spouse?’.
The legal rights spouses have can be ultimate but does being married automatically mean that one gets to make the final decision on all matters regarding their spouse? Find out what a power of attorney override is and whether it overrides the rights of a spouse.
What is a Power of Attorney?
A power of attorney is a written legal document that gives authorization to override a spouse to represent and act on behalf of another. The assignor is usually known as the donor, principal, or guarantor while the assignee can be a lawyer, attorney, or agent. Oftentimes, it comes into effect when a donor no longer can make important decisions due to mental or medical incapacity.
A power of attorney grants the lawyer, attorney, or agent several rights and duties. Depending on the state and its laws, some of them include:
- The right to screen, select and hire doctors and caregivers.
- The right to purchase life insurance policies on the donor’s behalf.
- The right to access the donor’s bank accounts to pay important bills like utility bills, medical bills, and housing expenses.
- The right to make financial decisions on behalf of the donor.
- The right to file a lawsuit on the donor’s behalf and sign the necessary documents.
What are Spousal Rights?
Legally, a marriage is a contractual agreement borne by two consenting individuals who would be officially known as spouses. Spousal rights are the rights accruing from marriage once the dotted lines have been signed. According to the United States Government Accountability Office (GAO), there are over a thousand statutory provisions in which marriage is a key factor in determining rights and privileges. Spousal rights vary, again depending on the state, but the general ones include:
- Joint filing of federal and state tax returns.
- Right to enter and sign a pre-nuptial agreement.
- Right to open a life insurance policy on behalf of a spouse and cash it upon the spouse’s death.
- Payment of child support and alimony after a divorce.
- Right to social security pension.
Who has the Final Say?
Many people believe that marriage automatically equates to having the power to make decisions on a spouse’s behalf, but that is far from the truth. Marriage does come with its perks and benefits, but it does not automatically grant a spouse the ability to make medical and financial decisions on behalf of the other spouse. Usually, spouses tend to grant the power of attorneys to themselves, but it is not a hard and fast rule.
If a spouse has appointed another to act on his behalf as a power of attorney, then it automatically overrides spousal rights. This is because a power of attorney is a legally binding document entered into by the donor spouse, having full understanding and knowledge of the contents of the document containing the power of attorney and being of sound mind and body. Going to contest it in a court of law will prove futile unless sufficient and compelling evidence can be presented to show that at the time the document was being signed by the donor, he was induced by fraud, coerced, or was not of sound mind or body.
Factors to Consider when Choosing an Agent
Because of how sensitive power of attorney is and how many legal disputes it has led to for the past decade, choosing the right person to be in charge of a spouse’s medical and financial decisions and well-being is very important. The foremost thing a spouse should consider is choosing someone who has his best interest, and that of his family, at heart.
Other factors include:
- The level of experience and expertise of the agent.
- The integrity of the agent.
- The reputation of the agent.
- The ability to navigate family dynamics.
Conclusion
In conclusion, before assigning anyone a power of attorney, a donor needs to give it careful thought and consideration. He should lay out his plans to a lawyer who would be able to advise him on the right course of action, taking into consideration the pros and cons of his choice. The main goal for a donor is to choose an agent who would uphold his wishes and protect his rights. Whether or not that is a spouse is anyone’s guess.
Frequently Asked Questions
- Does a power of attorney extend to gifts of money?
Yes, it can, provided it explicitly says so in the written document.
- Can a donor appoint more than one person as his agent?
Yes, however, it is not always advisable as this may create confusion, especially when time-sensitive decisions are to be made.
- Can an agent transfer funds to himself?
Yes, he can do so, but only if the power of attorney explicitly states that he can. If that is the case, then the power of attorney has to be specific as to how much an agent is to be paid to avoid a situation whereby an agent swindles the donor’s funds or uses them for a purpose other than what was agreed upon initially.
