Attorney for property

An attorney who deals with your property can write your cheques, roll over term deposits and even sell your home, depending on the power given or excluded in the document.

You can appoint more than one attorney to deal with your property, or use a trustee company such as Public Trust.

The arrangement must state whether the power of attorney will have immediate effect or if it will come into effect only if you become mentally incapable. You are "mentally incapable" in relation to property when you are not wholly competent to manage your own affairs. 

Many lawyers recommend that the document have immediate effect because of the costs and difficulties of proving lack of capacity. 

Reducing problems

There are measures you can take to protect yourself and reduce the risk of problems arising.

• Appoint two attorneys. Appointments can be made "joint but not several" meaning neither attorney can act without the knowledge and approval of the other.
  
  The problem with requiring joint authority is that if one attorney is out of contact or incapacitated, the other can’t act alone. The enduring power of attorney will cease to have effect if one of the attorneys dies and the court revokes the appointment, or if one attorney becomes bankrupt or mentally ill. There will also be a problem if the joint attorneys can’t work together. Careful choice of joint attorneys is crucial.
• Appoint a professional or a trustee company. An institution will be independent and will provide a check on an individual attorney. There will be ongoing professional costs for the work done.
• Restrict an attorney's powers. Instead of giving an attorney full powers, you can limit of what they can do. For example, you can choose to give your attorney power to access your accounts but not sell your house. But don't go overboard with this. Having an attorney hamstrung with countless restrictions while you're unable to look after yourself could be as bad as having no attorney at all.
• You can also name parties with whom the attorney must consult before making decisions. The final decision still lies with the attorney, but the requirement of consultation can provide reassurance that the right decision will be made.

If significant sums of money are involved, two attorneys or an institution should be appointed.