It is important to be proactive in all spheres of life, most importantly, when it comes to our assets and finances. Most individuals would usually take out time to prepare a will or trust as they advance in age, to dictate how they want their businesses, personal and financial matters to be handled after their demise. However, how many people also consider preparing a durable power of attorney document in case of incapacitation.
If you reside in Texas, a durable power of attorney Texas would prove valuable to you. In this article, we will be reviewing what this document is, why you need one and how to obtain one.
What Is Texas Durable Power of Attorney?
A Texas durable power of attorney as defined by the dictates of the Durable attorney act of the state says that an adult resident in Texas is allowed by the provisions of the law to delegate some decision-making to another individual or a group of individuals to handle certain decisions for himself/herself before and after his/her incapacitation.
While the one who designates this role is called the principal, the one who assumes the role of representing the principal in the principal’s legal and financial matters is described as the agent or attorney-in-fact. This power is ‘durable’ because it remains valid even after the physical or mental incapacitation of the principal. On the other hand, a general power of attorney is no longer effective when the principal is no longer deemed mentally capable of making certain decisions for him/herself.
How Does the Durable Power of Attorney Work?
As earlier highlighted, a durable power of attorney continues to be effective even after a medical professional or physician confirms the principal is no longer fit to make certain decisions on his/her own.
Essentially, a durable power of attorney is giving another individual to make certain transactions in your name. Since you are trusting your assets into the hands of an agent, you must ensure it is someone you can trust capable of handling these financial and legal matters. Most importantly, this agent must represent your best interests. Here are some things to note about a tx durable power of attorney.
Your agent becomes legally capable of representing you in the following transactions:
- Tax matters
- Claims and litigation
- Business operating transactions
- Stock and bond transactions
- Insurance and annuity transactions
- Retirement plan transactions
Note that you can also revoke the powers of your agent as long as you are still mentally capable of making such decisions.
Who Needs a Texas Durable Power of Attorney?
Everyone in Texas needs to fill a durable power of attorney form if he/she needs someone to represent him/her on financial, legal and business transactions in your absence. If you are often out of town and can’t attend to these delicate issues, you need to appoint someone to do so on your behalf.
It is also important for every senior or adult in danger of suffering a mental illness like dementia or Alzheimer’s. Without your appointing someone to take charge of your real estate, business transactions, financial and legal matters, your family will have to go through several court proceedings to get a conservator to represent your interests if you become incapcitated. Worse still, this individual might not be the one you would have ordinarily chosen if you had completed a Texas statutory durable power of attorney form.
In general, you should consider drafting one, if you:
- Work in a hazardous environment
- Participate in high-risk sporting activities
- Travel often
If you can’t draft one, here’s how to get one
How to Get A Durable Power of Attorney in Texas?
You can obtain a durable power of attorney form in Texas from a local library, a clerk court or download any of the detailed tx durable power of attorney forms available on CocoSign. If you want to limit the powers of your agent to particular areas, there are also forms that suit your needs.
These fillable forms are in line with the provisions of the Texas durable power of attorney act.
Everyone needs a durable power of attorney. It is especially non-negotiable if you work in a high-risk environment or travel very often. To get started, you can download any of CocoSign durable power of attorney fillable forms, fill, and sign in the presence of some witnesses or a notary public.
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