Your document also has to be tailored to your particular needs and wishes so that you have nothing to worry about in the future. To put it simply, this legal term is a medium for granting an individual the right to make medical, financial, and other decisions on your behalf. Easy to understand, isn t it? This document could cover simple financial matters like writing a check or even selling property. When creating the power of attorney, it is for the best to check the laws of the state, since each state has its own regulation on how it should be made. Legal assistance or help from a lawyer is very important to make sure that necessary steps are performed to avoid the document being challenged. Though the durable power of attorney has such characteristic, it is still important for the document to state that it would remain valid even if the principal becomes incapacitated or disabled. The durable power of attorney can be useful in situations when the principal is seriously ill, disabled, and if their property is modest but do not need setting up fund trusts or guardianship. Watching It: Power Of Attorney And Problems The power of attorney is a legal document which gives a person or an organization power to govern finances, business or even personal issues. The person entrusted with this power/ authority is called the agent or attorney-in-fact while the person who signed the document is the principal. It is impossible to underestimate the importance of POA. This legal document comes in handy when you incur an injury or develop a life-threatening disease, both of which render you incapable of making decisions on your own. In case you become physically or mentally incapacitated, how could you possibly pay your bills and mortgages or conduct transactions at the bank? If you have authorized someone to take charge of your property in your absence beforehand, then you can rest assured that the sale would be properly negotiated and hopefully, a deal would be closed even if you are not present. In cases like that, you may opt to get a durable POA that specifies a limited period when the authorization is effective.