Have you made a Lasting Power of Attorney?
The advantages of making a Will, to provide for the administration of your Estate
after death are well known. Wills appoint executors to sort out the estate and you
can include financial provisions for your family, bringing you peace of mind.
However, what is less well understood is how matters are dealt with in the event
of someone losing the mental capacity to administer their own affairs.
The risk of mental incapacity is increasing as people tend to live longer, but can
strike at any time through illness or accident. Are you prepared for such an eventuality?
If no one has been granted the legal authority to act on your behalf at such a time,
this can cause problems for the administration of your finances, or attending to
your care and well-being.
Even if you are married, your spouse will not automatically have authority to act
for you.
By making a Lasting Power of Attorney, you can appoint someone to make decisions
on your behalf, if and when this becomes necessary. Thus, you may appoint people
of your own choice, and people you trust, to act on your behalf.
Otherwise, if you were to lose mental capacity, the Court would decide for you,
and appoint someone to act in your affairs.
There are two types of Lasting Power of Attorney (LPA): one for property & affairs,
and one for health & welfare.
- Property & Affairs LPA
A Property & Affairs LPA allows you to appoint attorney(s) to deal with your
finances and assets, including your bank and building society accounts, stocks and
shares, and investments.
It would also allow your attorney(s) to sell your house and any other properties
you may own, if this became necessary, and, if appropriate, to purchase another
property for you.
A Property & Affairs LPA also provides authority to deal with pensions, state
benefits, legal matters and tax affairs.
- Health & Welfare LPA
A Health & Welfare LPA allows you to appoint attorney(s) to act on your behalf
in matters relating to your personal health and welfare, such as your placement
in a residential care home, dealing with social services, and consenting to or refusing
medical treatment for you.
You may choose to execute one or both types of LPA, although in order to give your
attorney(s) maximum authority over both property and welfare issues both types would
be required.
At Chattertons, we have a team of highly specialised practitioners who would be
happy to advise you on your individual needs. An LPA is a very powerful document,
and we would strongly recommend that you obtain professional advice before making
one.
If you would like to find out more about LPAs, and how they may be helpful in your
own particular situation, please contact a member of the Team either by email or
telephone from the details given below.
Frequently asked questions about LPAs:
Q Who can make a Lasting Power of Attorney?
Anyone who is aged 18 or over, and has the necessary mental capacity to do so, may
make an LPA.
Q Who can act as my attorney?
You may choose anyone you trust to act as your attorney, so long as they are aged
18 or over and have not been declared bankrupt.
Q How many attorneys may I appoint?
You may appoint as many attorneys as you like. You may also appoint “replacement
attorney(s)” to act on your behalf, if one of your first-named attorneys becomes
unable to continue acting for you.
Q May I place any restrictions or conditions on the powers granted to the attorney?
The LPA can be drafted to your individual requirements, and grant either general
or specific powers, as you wish.
Q How much will it cost?
All LPAs are drafted to the individual needs and requirements of our clients.
Therefore, our costs are calculated on the basis of time incurred. We will be able
to advise you more specifically on costs once we know exactly what you want to do.
Q When can the Lasting Power of Attorney be used?
Before any LPA can be used, it must be registered with the Office of the Public
Guardian. We would be happy to assist you in the registration process.
Once registered, a Property & Affairs LPA can be used immediately, if you wish
to grant that power to the attorney(s). Alternatively, if you only want the LPA
to come into use once you have started to lose mental capacity, a restriction to
this effect may be placed on the document.
However, a Health & Welfare LPA cannot be used unless you are unable to make
decisions for yourself.
Contact Us
For further information please e-mail
private.client@chattertons.com or if you would like to arrange an appointment
to see one of our Wills & Probate specialists, please contact a member of the
Team either by email or telephone from the details given below.
Private Client Team