Power of attorney act sa

The Parliament of South Australia enacts as follows: 1—Short title. This Act may be cited as the. What does a power of attorney do? In this Act— enduring power of attorney.

The legislative history at the back of the Act provides detail about the past and future operation of the Act. If you give another person a ‘power of attorney’, it simply means you give that person the power to act on your behalf (for example , to buy and sell things for you or operate your bank account ). General power of attorney. In addition, it’s also important to remember that a general power of attorney cannot be used to appoint someone to make personal decisions, such as health-related matters, on your behalf.

No person is by nature able to act on behalf of another – he or she must have the necessary authority to do so. This authorisation is commonly given in the form of a power of attorney. A juristic act is an act whereby legal relationships are created and which has legal consequences, for example entering into an agreement. A power of attorney is not a contract, but rather an expression of will by the principal that the agent shall have the power to act on his or her behalf. Through signing a power of attorney the principal not only empowers the agent to act, but also indicates to third parties his or her will to be bound by acts performed by the agent.

A properly authorised agent who validly enters into a contract on behalf of another is therefore protected from any liability arising from that contract. See full list on sanlam. In order for the power of attorney to be vali the principal must have the necessary contractual capacity. In South Africa the law of agency is based upon the principle that an agent cannot do that which his principal has no capacity to do himself. In other words, one cannot authorise someone else to perform acts that you yourself do not have the capacity to perform.

Therefore, a person who cannot understand the nature and consequences of granting a power of attorney cannot validly execute such a power of attorney. Many older persons want to make provision for someone else to manage their property and affairs. Often the intention is to cater for when they are no longer capable of doing so for themselves. They then give such authority to a family member, attorney or financial adviser in the form of a power of attorney, thinking that the power of attorney will remain effective until they pass away. South African common law determines that a power of attorney terminates once the principal becomes mentally incapacitated.

Power of attorney act sa

In other words, when a principal is no longer able to perform the act in question himself, the agent can no longer do it for him. A validly concluded power of attorney therefore automatically lapses as soon as the principal loses the legal capacity to act. The dilemma: the agent is suddenly left with no authority to act on behalf of the principal and the principal canno. Countries such as the UK, Canada, USA, New Zealand and Australia have already introduced enduring powers of attorney that remain in force despite the mental incapacity of the principal.

The principal – while still mentally competent – executes a power of attorney which explicitly states that the power of attorney is to remain valid despite a decrease of capacity which the principal may experience in the future. The possibility of introducing such a system in South Africa has been investigated by the South African Law Reform Commission. It is, however, ten years later and the matter has yet to be taken further. In light of the above it is clear that a power of attorney is of little or no value to someone who fears that their mental capacity is weakening or may be weakened in the future and who wants someone to act on their behalf if and when that situation arises.

Power of attorney act sa

It is also debatable whether an enduring power of attorney will be accepted in our law considering our law of agency is based upon the principle that an agent cannot do that which his principal has no capacity to do himself. South Africa desperately needs to cater for adults with impaired decision-making capacity – either by way of introducing new legislation which makes provision for assisted decision making in a simpler, more accessible form than our current curatorship system, or by making provision for a type of enduring power of attorney which is developed on the basis of our common law principles of agency. A general power of attorney gives broad powers to a person or organization (known as an agent or attorney-in-fact ) to act on your behalf. These powers include handling financial and business transactions, buying life insurance, settling claims, operating business interests, making gifts, and employing professional help. Adult must sign enduring power of attorney.

Subject to subsections (2) to (6), an enduring power of attorney must be in writing and signed and dated by. TABLE OF PROVISIONSLong Title1. Application of this Act5.

Power of attorney act sa

Enduring powers of attorney7. Offence if donee of enduring power fails to keep and preserve accounts of dealings etc9. A power of attorney in South Australia is a legally binding document which gives someone the power to act as your agent and make decisions on your behalf.

A written document where one person known as a principal, appoints and authorises another, known as an agreement, to generally conduct affairs on its behalf. In addition one of these people must be authorised by law to take and receive statutory declarations or affidavits. The enduring power of attorney revocation form must be lodged with the Lands Titles Office.

When an individual wants to allow another person or entity to make decisions on their behalf, a power of attorney (POA) is used. If you allow someone to act on your behalf, you are the “ Principal “. The powers are durable which means the form remains valid even if the principal should become mentally incompetent.