An Enduring Power of Attorney (EPA) is a legal document that allows you to appoint someone to make important financial and legal decisions on your behalf if you cannot make those decisions for yourself. There are several reasons why you might need an EPA:

1. In case of incapacity: If you become incapacitated due to illness, injury or ageing, you may be unable to manage your financial and legal affairs. In such a scenario, an EPA ensures that someone you trust and who understands your wishes is legally authorised to manage your affairs.
2. Peace of mind: Creating an EPA can give you peace of mind that your affairs will be handled by someone you trust, according to your wishes.
3. Convenience: An EPA can be very convenient if you travel frequently or are otherwise unable to manage your affairs for some time.
4. Avoiding a court-appointed guardian: If you don’t have an EPA in place and become incapacitated, the court may appoint a guardian to manage your affairs. This can be costly and time-consuming, and the appointed guardian may not be someone you trust or who understands your wishes.

Overall, an Enduring Power of Attorney can provide security and peace of mind knowing that your affairs will be taken care of by someone you trust if you cannot do so yourself. You should consult a lawyer or a qualified legal professional to help create an EPA that meets your specific needs and requirements.

What is an Enduring Power of Attorney?

An Enduring Power of Attorney (EPA) is a legal document that allows you (the “donor”) to appoint someone else (the “attorney”) to make important financial and legal decisions on your behalf if you become unable to make those decisions for yourself.

The term “enduring” refers to the power of attorney continuing even if you become mentally incapacitated or unable to make decisions for yourself. An EPA is a way to ensure that your financial and legal affairs will be taken care of if you are unable to do so yourself.

The appointed attorney can be authorised to make decisions on a wide range of matters, including but not limited to: managing bank accounts, paying bills, buying or selling property, managing investments, dealing with government agencies, and making healthcare decisions.

Choosing a lawyer you trust and who will act in your best interests is important. It is also important to ensure that the EPA complies with the laws of your jurisdiction and meets your specific needs and requirements. You should consult a lawyer or a qualified legal professional to help create an EPA.

Can I change my mind about giving someone Power of Attorney?

Yes, as the donor of the Power of Attorney, you have the right to change your mind about giving some or all of the powers to your attorney at any time, as long as you have the legal capacity to do so.

To change the terms of the Power of Attorney, you can revoke it in writing by creating a new document that clearly states your intention to revoke the previous Power of Attorney. To avoid confusion or disputes, you should communicate your wishes to your lawyer and other relevant parties, such as your financial institution or healthcare provider.

It’s important to note that the revocation of a Power of Attorney must be done in accordance with the laws of your jurisdiction and any terms or conditions specified in the original document. You must consult a lawyer or a qualified legal professional to ensure that any changes you make are done properly and legally binding.

When does my EPA come into effect?

The timing of when an Enduring Power of Attorney (EPA) comes into effect depends on the specific terms and conditions of the document.

Generally, an EPA comes into effect as soon as it is signed and witnessed, but it can also specify that it only comes into effect upon certain conditions, such as when the donor loses mental capacity. This is known as a “springing” Power of Attorney.

If the EPA is a springing Power of Attorney, then the appointed attorney will only have the power to act on your behalf once the specified conditions are met, such as a medical professional certifying that you have lost the capacity to manage your affairs. This means that you will retain control over your financial and legal affairs until such time as the specified conditions are met.

It is important to note that the rules around when an EPA comes into effect can vary depending on the specific terms and conditions of the document. You should consult a lawyer or a qualified legal professional to help create an EPA that meets your specific needs and requirements.

How do I go about setting up an Enduring Power of Attorney?

Setting up an Enduring Power of Attorney (EPA) typically involves the following steps:

1. Choose your law firm: The first step is to choose a lawyer you trust and who understands your wishes. This person will manage your financial and legal affairs if you cannot do so.
2. Decide on the powers to be granted: You should decide which powers to grant to your lawyer. You can give your lawyer broad powers to manage your financial and legal affairs or restrict their powers to specific matters.
3. Draft the EPA document: You will need to draft an EPA document that sets out the terms and conditions of the Power of Attorney, including the powers being granted to your lawyer and any conditions that need to be met before the Power of Attorney comes into effect.
4. Sign and witness the EPA: You will need to sign the EPA in the presence of a witness who is not your lawyer, spouse, or partner. The witness must also sign the document to confirm that they have witnessed you signing it.

How can I prepare before seeing my legal adviser and appointing a lawyer?

Before you see your legal adviser appoint an Attorney and prepare an Enduring Power of Attorney (EPA), there are a few steps you can take to help ensure that the process goes smoothly:

1. Consider your options: Before choosing a lawyer, consider your options carefully. Think about who you trust, who is best suited to manage your affairs, and who is willing to take on the role.
2. Decide on the powers to be granted: Think about the specific powers you want to grant to your lawyer. This may include managing your bank accounts, paying bills, buying or selling property, and making healthcare decisions.
3. Prepare a list of your assets and liabilities: Make a list of your assets and liabilities, including bank accounts, investments, property, and debts. This will help your legal adviser understand your financial situation and determine the specific powers that should be granted to your lawyer.
4. Consider your healthcare wishes: Consider your wishes and any medical treatment you would like to receive or refuse if you cannot make decisions. This information can be included in the EPA.
5. Gather relevant documents: Gather relevant documents, such as property deeds, bank statements, and insurance policies. These documents can help your legal adviser understand your financial and legal affairs and ensure that the EPA is comprehensive and accurate.

By taking these steps before you meet with your legal adviser, you can ensure that appointing a lawyer and preparing an EPA goes smoothly and that your wishes are properly documented and accounted for.

Optional provisions you can include in your EPA

An Enduring Power of Attorney (EPA) can include optional provisions that allow you to specify additional instructions or requirements that your lawyer must follow. These provisions can help ensure that your financial and legal affairs are managed in accordance with your wishes. Here are some examples of optional provisions that you can include in your EPA:

1. Limitations on powers: You can specify certain limitations on the powers granted to your lawyers, such as a limit on the amount of money that can be spent or a restriction on the types of investments that can be made.
2. Replacement lawyer: You can specify a replacement lawyer who will take over if your original lawyer is unable or unwilling to act.
3. Notification requirements: You can require that your attorney notify certain people, such as family members or a financial advisor, before making certain decisions.
4. Prohibition on specific actions: You can prohibit your attorney from taking certain actions, such as selling specific assets or making certain investments.
5. Specific instructions: You can include specific instructions on how you want your affairs to be managed, such as how you want your assets to be distributed or your healthcare to be managed.

Implications of not having an Enduring Power of Attorney (EPA)

Not having an Enduring Power of Attorney (EPA) can have significant implications for you and your loved ones. Here are some of the potential consequences of not having an EPA:

1. Court-appointed guardianship: If you cannot manage your affairs and do not have an EPA, the court may appoint a guardian to manage your affairs. The court-appointed guardian may not be someone you trust or who understands your wishes, and the process of appointing a guardian can be time-consuming and costly.
2. Limited decision-making capacity: Without an EPA, your loved ones may not have the legal authority to make important financial and legal decisions on your behalf, such as managing your bank accounts, paying bills, or selling property. This can leave you with limited decision-making capacity and may affect your ability to manage your affairs.
3. Family disputes: With an EPA, family members may have differing views about who should manage your affairs or how your affairs should be managed. This can lead to disputes and legal challenges, which can be costly and time-consuming.
4. Healthcare decisions: Without an EPA, your loved ones may not have the legal authority to make healthcare decisions on your behalf if you cannot decide for yourself. This can leave you with limited control over your healthcare and medical treatment.

Is an Enduring Power of Attorney (EPA) the same as a will or a living will?

No, an Enduring Power of Attorney (EPA) is not the same as a will or a living will, although they are all legal documents that relate to your affairs in some way.

A will is a legal document that sets out your wishes for the distribution of your assets after you pass away. It only comes into effect after your death and does not give anyone the power to manage your financial or legal affairs while alive.

A living will, also known as an advance directive, is a legal document that sets out your wishes for medical treatment if you cannot decide for yourself. It only relates to your medical treatment and does not give anyone the power to manage your financial or legal affairs.

An EPA, on the other hand, is a legal document that allows you to appoint someone to manage your financial and legal affairs on your behalf if you cannot do so yourself. It can cover various matters, including managing bank accounts, paying bills, buying or selling property, managing investments, dealing with government agencies, and making healthcare decisions.

In summary, a will and a living will deal with matters that arise after you pass away or become unable to make decisions for yourself in relation to medical treatment, while an EPA relates to the management of your financial and legal affairs during your lifetime if you become unable to manage them yourself.

Can an Enduring Power of Attorney (EPA) made overseas work in New Zealand?

The recognition of an Enduring Power of Attorney (EPA) made overseas in New Zealand will depend on the laws of the country where the EPA was created and the laws of New Zealand.

New Zealand may recognise the document if the EPA is made in a country that is a signatory to the Hague Convention on the International Protection of Adults. In this case, the EPA may need to be authenticated or apostilled to be recognised in New Zealand.

If the EPA was made in a country that is not a signatory to the Hague Convention, the EPA might still be recognised in New Zealand if it complies with New Zealand law. This may involve having the document reviewed by a New Zealand lawyer to ensure that it meets the legal requirements for EPAs in New Zealand.

It is important to note that the recognition of an EPA made overseas in New Zealand can be a complex issue, and it is recommended that you seek advice from a lawyer or a qualified legal professional who specialises in cross-border issues to determine whether the EPA will be recognised in New Zealand. They can guide you through the process and help ensure that the EPA is legally binding and recognised in New Zealand.