Powers of Attorney

What Is a Power of Attorney?

A power of attorney (POA) is a legal document that gives someone you choose—your "agent" or "attorney-in-fact"—the authority to act on your behalf in financial and legal matters. This person doesn't need to be a lawyer; it can be a spouse, adult child, sibling, or trusted friend.

A properly drafted POA ensures that:

• Bills get paid and bank accounts remain accessible
• Investments are managed and protected
• Tax returns are filed on time
• Real estate transactions can proceed
• Legal documents can be signed when you're unavailable or incapacitated

Oklahoma Uniform Power of Attorney Act

Oklahoma adopted the Uniform Power of Attorney Act (Title 58, Section 3001 et seq.) which provides important protections for you, your agent, and third parties who rely on your POA. Key provisions include:

• Third-party acceptance – Banks and financial institutions must accept properly executed POAs or face liability
• Agent accountability – Your agent has fiduciary duties and can be held liable for abuse
• Durability presumption – Oklahoma POAs are presumed durable unless stated otherwise
• Gift authority limits – Agents cannot make gifts unless specifically authorized in the document

Why "Durable" Matters

In Oklahoma, a regular power of attorney automatically terminates if you become incapacitated. That's exactly when you need it most.

A durable power of attorney includes specific language that allows it to continue even if you become mentally or physically incapacitated. Without this durability provision, your family may need to go through expensive, time-consuming court proceedings to gain access to your accounts and manage your affairs.

Types of Powers of Attorney

General (Durable) Power of Attorney

Grants broad authority over all your financial affairs—banking, investments, real estate, business operations, tax matters, and more. This is the most common type and provides maximum flexibility.

Limited (Special) Power of Attorney

Grants authority for specific transactions only. Useful when you need someone to handle a particular matter—selling property while you're traveling, managing a specific account, or completing a business transaction.

Springing Power of Attorney

Only takes effect upon a triggering condition—usually your incapacity as determined by one or more physicians. Provides more control but can cause delays when immediate action is needed.

Choosing Your Agent

Selecting the right agent is crucial. Consider someone who:

• Is trustworthy and honest – They'll have significant control over your finances
• Is organized and responsible – Financial management requires attention to detail
• Is available and willing – The role may require significant time
• Understands your values – They should make decisions you would make
• Can handle potential conflicts – Other family members may disagree with decisions

We often recommend naming a successor agent in case your first choice is unable or unwilling to serve when needed.

What Happens Without a POA?

If you become incapacitated without a power of attorney, your family faces difficult choices:

• Guardianship proceedings – Someone must petition the court to become your legal guardian, which is expensive ($2,000-5,000+) and time-consuming (several months)
• Ongoing court supervision – A guardian must report to the court regularly and get approval for many decisions
• Loss of control – You don't choose your guardian; the court does
• Immediate access problems – Bills go unpaid while the process unfolds

Common POA Mistakes to Avoid

Even well-intentioned POA documents can fail when needed most. Here are mistakes we help Oklahoma families avoid:

• Using outdated forms – Oklahoma law changed significantly with the Uniform Power of Attorney Act; old forms may not be accepted
• Not including durability language – Without it, your POA becomes invalid at incapacity
• Choosing the wrong agent – Select someone trustworthy, organized, and willing to serve
• Not informing your agent – Your agent should know where to find the document
• Failing to update after life changes – Divorce, death, or estrangement may require new documents
• Not having a successor agent – If your primary agent can't serve, a backup prevents delays