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In Western Australia (WA), one of the things that most people disregard is the significance of a Power of Attorney until it is too late. An enduring power of attorney is an essential legal document that allows another person whom you trust to make a financial or legal decision on your behalf should you be unable to do so. Failure to have this document may expose you and your loved ones to a lot of legal and financial issues.
This blog will discuss what will occur in case you do not have a Power of Attorney in WA and the importance of meeting with an estate planning lawyer to protect your future.
A Power of Attorney permits a second individual, called your attorney, to represent you in handling your affairs. This could involve payment of bills, sale of property, or dealing with investments. In WA, a Power of Attorney can be of various types, such as a general Power of Attorney (to be used temporarily) and an enduring Power of Attorney in Perth (to make long-lasting decisions in case of losing the ability to make them on your own).
In the absence of such a document, your family members/friends are not automatically entitled to make such decisions on your behalf. This may lead to confusion, procrastination, and even conflict in case of some urgency in decisions. Consultation with an expert power of attorney lawyer can assist in making sure the right individual has been designated and the document is in line with the legal requirements.
Without a Power of Attorney, there is a list of consequences that can occur to you should you lose mental capacity or become physically unable to conduct your affairs:
Without a Power of Attorney, your family will not be able to intervene and manage your finances automatically. Instead, they are required to seek an appointment of a financial administrator or a guardian at the State Administrative Tribunal (SAT). It may be an expensive, time-consuming process that may impose emotional tension on an already stress-filled moment.
In the preparation of a Power of Attorney, you are free to select your representative; someone you have confidence in. In its absence, the SAT determines who is appointed. This is not likely to conform to your personal preference, and you might probably be left under the control of a person whom you might not have elected.
The absence of the existing Power of Authority might make it impossible to control the bills, mortgage payments, or business activities. Due to frozen accounts or missed payments, the money can be lost. By hiring an estate planning lawyer at an early stage, these complications can be avoided, and the smooth running of your estate can be ensured in case you are not able to do so.
Without a Power of Attorney, family members usually have no idea how to address legal or financial issues. What causes strain in the family can be the disagreement over who should handle your affairs, and in the worst scenario, the family matters may end up in court. Clear documentation following the instructions of wills and estate lawyers provides harmony and clarity in challenging times.
The value of an enduring power of attorney Perth is especially noteworthy since it remains valid in the case of loss of mental capacity. It is to provide your lawyer with the power to administer your property, bank accounts, and other financial affairs on your behalf.
This is because, unlike in a general Power of Attorney, it ceases to exist when you lose capacity. Thus, any party involved in wills and estate planning lawyers must consider developing an enduring one to guarantee total protection.
Estate planning is not simply about writing a will, but planning to safeguard your future when you are still alive. Power of Attorney is a supplement to your will because it provides that your finances be managed in case you are no longer able to do so.
Having an estate planning attorney will enable you to develop a holistic plan incorporating your will and power of attorney that will guarantee that not only your life is managed but also your legacy is well taken care of.
The absence of a Power of Attorney in WA may result in unwarranted stress, financial hazards, and the absence of a personal decision. Being proactive will save you the hassle of letting someone else run your life and will not put your family through prolonged court battles.
No matter whether you are writing your first will or updating your estate plan, you must include a Power of Attorney. Hiring professional estate planning lawyers Perth will assist in the arrangement of the appropriate documentation and provide you with confidence that your future is not at risk.