A power of attorney (POA) is a powerful legal document that grants an agent the authority to make decisions on behalf of the principal – the person executing the document.
In most situations, a power of attorney serves a beneficial purpose, but there are certain situations where challenging a POA becomes necessary to protect the principal’s interests.
Here are three times to consider challenging a power of attorney.
Formalities were not followed
Another reason to challenge a POA is if the required formalities were not followed during its creation. Each state has specific legal requirements for a POA to be valid, such as the inclusion of certain language, witness signatures and notarization.
If these formalities are not met, the POA may be considered invalid. A challenge on these grounds involves scrutinizing the document to ensure all legal requirements were met.
The principal is mentally incompetent
One of the primary reasons to challenge a POA is if the principal is mentally incompetent. Mental incompetence can arise from conditions such as dementia, psychiatric issues and other forms of mental incapacity.
If the principal is unable to make informed decisions, a court may need to intervene to revoke a recently-drafted POA. This often involves presenting evidence from medical professionals to demonstrate the lack of capacity.
Abuse of authority by the agent
This can be a potentially serious concern that can justify challenging a POA. Questionable actions include stealing from the principal’s assets, mismanaging funds or neglecting the principal’s needs.
Proving abuse of authority often requires gathering evidence of the agent’s misconduct and presenting it to the court. This process can be complex and may benefit from the guidance of a legal representative familiar with Texas power of attorney laws and regulations.
