What is Lasting Power of Attorney (LPA)?
A Lasting Power of Attorney (LPA) is a legal document that allows you to appoint someone (called an ‘attorney’) to make decisions on your behalf if you become unable to do so yourself. An LPA can cover two main areas:
- Health and Welfare LPA: This gives your attorney the authority to make decisions about your personal care, medical treatment, and where you live.
- Property and Financial Affairs LPA: This gives your attorney the authority to manage your finances, such as paying your bills, selling your property, and investing your money.
Why is an LPA Important?
An LPA is important because it ensures that your wishes are respected even if you are unable to communicate them yourself. Without an LPA, your family or friends may not have the legal authority to make decisions on your behalf, which could lead to disputes or delays in getting the care or support you need.
Who Can Make an LPA?
To make an LPA, you must be:
- Over 18 years old
- Of sound mind
- Capable of understanding the nature and effects of an LPA
How to Make an LPA
To make an LPA, you need to:
- Choose your attorney: This can be a family member, friend, or professional such as a lawyer or accountant.
- Complete the LPA form: The LPA form is available online or from the Office of the Public Guardian.
- Sign the LPA in the presence of two witnesses: The witnesses must be over 18 years old and not related to you or your attorney.
- Register the LPA with the Office of the Public Guardian: This is a legal requirement to make the LPA valid.
When Does an LPA Come into Effect?
An LPA comes into effect when you lose the capacity to make decisions for yourself. This can happen due to:
- An accident or illness
- Dementia or Alzheimer’s disease
- A mental health condition
How Long Does an LPA Last?
An LPA lasts indefinitely unless:
- It is revoked by you or your attorney
- It is replaced by a new LPA
- The Office of the Public Guardian cancels it
How to Revoke an LPA?
You can revoke an LPA at any time by:
- Writing to the Office of the Public Guardian
- Informing your attorney in writing
- Making a new LPA
What are the Benefits of an LPA?
There are many benefits to making an LPA, including:
- Peace of mind: Knowing that your wishes will be respected if you become unable to make decisions for yourself.
- Protection: An LPA can help to protect you from financial exploitation or abuse.
- Reassurance: An LPA can provide reassurance to your family and friends that your affairs will be managed in accordance with your wishes.
What are the Risks of an LPA?
There are also some risks associated with making an LPA, including:
- Choosing the wrong attorney: It is important to choose an attorney who you trust and who you believe will act in your best interests.
- Abuse of power: Your attorney has a fiduciary duty to act in your best interests, but there is a risk that they may abuse their power.
- Financial losses: If your attorney mismanages your finances, you could lose money.
How to Avoid the Risks of an LPA?
There are several ways to avoid the risks associated with making an LPA, including:
- Choose your attorney carefully: Take your time to choose an attorney who you trust and who has a good reputation.
- Set clear limits on the attorney’s authority: In your LPA, you can specify the decisions that your attorney is allowed to make.
- Monitor your attorney’s activities: Regularly review your attorney’s accounts and ask questions if you have any concerns.
Conclusion
A Lasting Power of Attorney is an important legal document that can help to ensure that your wishes are respected even if you become unable to communicate them yourself. By understanding the benefits and risks of an LPA, you can make an informed decision about whether or not to make one.
