Powers Of Attorney And Bankruptcy

Question 1

Generaal powers of attorney

Answer 1

It’s a temporary measure -
When someone goes on holiday or when someone is struggling to manage their affairs and wants to appoint someone else
Needs mental capacity
Revokes when mental capacity lost or death or bankruptcy
Doner can revoke any time
Attorney to show original copy to show authority
If donee revokes attorney can be fined and imprisoned if still carried out transaction , but if attorney doesn’t receive notice of revokation then transaction. Still valid
Not compatible for attorney to make large gifts
Firms dealing with POA should ensure documents are checked , and notice of revocation hasn’t been served and that donors death hasn’t happened

Question 2

Lpa- replaced epa

Answer 2

Property and financial affairs - can be affected even if donor has mental capacity
Health and welfare - how donor wants to be looked after once donor loses mental capacity
Both lpa need to be registered with OPG

Need to complete prescribed forms 
need certificate provider- donor understands affect of lpa 
Signed donor/attorney 
Witnessed independent peeps 
£82 to register 
£41 to Correct small error 
Takes 4-10 weeks 
3 weeks while people can object

Question 3

Valid LPA

Answer 3

Donor and attorney over 18
Prescribed forms used
Donor mental capacity
Certificate provider confirmation
Signed attorney :donor
Registered with opg
Fee paid
Lpa states donor /attorney read form and understood
Revoked if donor /attorney are married and they divorce
Revokes by donor - even if they lose mental capacity and regained - in this case medical evidence required to prove

Question 4

Attorneys responsibility’s

Answer 4

Make decisions authorised by lpa 
Keep own money separate 
Only make gifts on customary occasions birthday wedding and family events 
Best interest of donor 
Respect donors confidentiality 
No conflict of interest

Question 5

EPAS
Are valid if made before 1st October 2007

Doner can only revoke epa on cop permission
Revoked bankruptcy
Gifts for iht can only be made with courts approval -this may have changed
Own money and donors money separate

Answer 5

No changes can be made on existing ones
Need lpa if changes required
No health and welfare decisions
Doner can give authority imeadietly or stipulate the powers to be given on loss of mental capacity
Doner can revoke power at anytime
EPA revoked if doner loses mental capacity unless registered with OPG
EPA temporary suspended during registration process
Once registered attorney can act whether donee has capacity or not
Doner can revoke if regains capacity but need to provide medical evidence to cop

POA pre 1 Jan 1991 - invalid on loss of mental capacity
Attorney can continue to act on negotiorum gestio
- informal arrangement
-act as is they would have had they have been given authority
- no obligation to accept actions of anyone acting under it