Top ten power of attorney questions

1. Do I have to register my power of attorney?
   That depends on what it is for, and whether it is legally necessary in your State/Territory. Check with a state trustee company, your lawyer, legal aid, or a community legal centre.
   
   
2. Can all powers of attorney be cancelled?
   No. An "irrevocable power of attorney", can be used as security, e.g. for a loan. It cannot be cancelled unless the attorney agrees.
   
   
3. Can I use my power of attorney if I move interstate?
   No. State laws regulate powers of attorney and each state has different laws. For example, in some states there is no such thing as a medical enduring power of attorney.
   
   
4. Why do States have different laws about powers of attorney?
   That doesn't make sense. You're right, but this is a function of the Constitution. The States can make their own laws in this area.
   
   
5. Is a power of attorney the same as a will?
   No. You make a will so that your assets can be distributed to the people you have chosen after your death. Powers of attorney let you appoint someone to make decisions during your life.
   
   
6. If I appoint my nephew as power of attorney, because he is an accountant and he understands my financial situation, will my daughter be able to object if she doesn't agree with what he's doing?
   Unless your nephew is abusing his position or not acting in accordance with the power of attorney, yes, he will have the final decision making power. Of course you can change your power of attorney if you are mentally competent.
   
   
7. Do I have to change my power of attorney if I marry or change address?
   No. The power of attorney is still valid, but if you move interstate you will probably need a new power of attorney.
   
   
8. What is the difference between an agent and an attorney?
   Usually this is just different language. For instance, in Victoria the medical enduring power of attorney uses the word agent, but it is the same thing as an attorney.
   
   
9. What do I do if I think a power of attorney is being abused?
   Get legal advice immediately. In some States a Court/Tribunal can cancel an enduring powers of attorney if a person is mentally incompetent and the enduring power of attorney is not used in their best interest.
   
   
10. My lawyer says I can appoint multiple attorneys. So would it be okay to appoint my six brothers and sisters to have joint powers?
    Check with your lawyer, but it may mean that each brother and sister have to agree with each decision. This can be very unwieldy and might lead to an independent substitute decision maker being appointed if there is disagreement. Ask if you can appoint the attorneys "jointly and severally". However, you might want to think seriously about appointing less attorneys.

Read this: This fact sheet is intended to be general information about the law in Australia. It is not a substitute for legal or other professional advice. LAwscape Communications Pty Ltd, F2 Australia & New Zealand Pty Ltd or Moneymanager does not accept responsibility for loss to any person, who either acts or does not act because of this fact sheet.

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