Released on: February 26, 2008, 5:34 am

Press Release Author: Furley Page Solicitors

Industry: Law

Press Release Summary: NEW POWERS OF ATTORNEY - WHAT YOU NEED TO KNOW
by Nicola Rostron - associate and senior solicitor at Furley Page Solicitors
A big change in the law governing powers of attorney means that new legislation is
quite complex - but there's no need to panic!

Press Release Body: What does the change involve?

Since October 2007 the Mental Capacity Act has had a major impact on powers of
attorney, introducing a new lasting power of attorney (LPA) to replace the existing
enduring powers of attorney (EPA).
Any properly prepared EPA made before October 2007 is valid but you will no longer
be able to make a new EPA. General powers of attorney remain unchanged.

Two types of LPA

There are two types of lasting powers of attorney (LPA) that can be made by a person
(known as a donor). The first deals with property and affairs and gives the attorney
authority to act in connection with the donor's financial matters.

The second relates to personal welfare embracing issues such as health, medical
treatment, where to live, what to wear, what to eat, who to see - but the attorney
can only make decisions if the donor has lost capacity.

LPAs are much lengthier than EPAs and require careful study in advance - and they
must be registered with the Office of the Public Guardian before the attorney can
act.

A major advantage over EPAs is that once the LPA is registered, the donor is still
able to act in relation to their own affairs - either with the attorney or
independently.

Both types of LPAs require an independent certificate provider to confirm the donor
understands the nature and effect of the LPA and also doesn't feel unduly pressured
to make it. The certificate provider must be someone of the donor's choice and be
over 18. There are two types of certificate provider as well as certain restrictions
so you will need to seek legal advice
Choosing the right attorney.

It may sound obvious but it's important that a donor should choose someone
trustworthy. They must be over 18 and not an undischarged or interim bankrupt. More
than one attorney can be appointed.
The chosen attorney must sign an LPA, abide by both the principles stipulated by the
Mental Capacity Act and always act in the best interests of the donor.

Attorneys can be appointed to work together, or together and independently, or
together with regard to certain matters and together or independently with regard to
others.
Another advantage over EPAs is that in the event of an attorney dying or becoming
incapable of acting on a donor's behalf, the donor can appoint a replacement. This
should be done at the time the LPA is prepared.
. General powers of attorney - a donor can give authority to an attorney to act on
their behalf and manage their affairs. The power might be limited to some specific
matter, such as selling a property, or the attorney might be given wider powers over
the donor's affairs generally. A GPA doesn't cover loss of mental capacity by the
donor. If the donor becomes mentally incapable the attorney can no longer act.
. Enduring powers of attorney - an EPA is limited in that an attorney only has
authority to manage the donor's property and affairs. The attorney will need to
register the EPA with the Court of Protection if the donor is becoming, or has
become, mentally incapable of managing their affairs. Until an EPA is registered the
donor can revoke the power at any time. There is a specific procedure for
registration which includes the giving of notice to both the donor and certain
specified relatives. Once it has taken place the donor can no longer act for
himself.


Web Site: http://www.furleypage.co.uk/

Contact Details: For further information contact Nicola Rostron at Furley Page
Solicitors on 01227 763939 or email njr@furleypage.co.uk Alternatively, visit
www.furleypage.co.uk