What is a Limited Power of Attorney in Virginia?
In Virginia, a limited power of attorney is a legal document that appoints someone (called an “agent” or “attorney in fact”) to act on your behalf for very specific tasks or transactions. A general power of attorney grants the agent broad authority. On the other hand, limited power of attorney restricts your agent’s powers to particular matters that you specify in the document. This gives you greater control of what actions the agent can take.
When would I vest someone with limited power of attorney?
Vesting someone with limited power of attorney can be useful in some situations. These include:
- Selling or purchasing property while you are out of state
- Managing specific properties or investments when you are temporarily incapacitated
- Handling tax matters when you are unable to do so
- Overseeing a business transaction while you’re not able to
- Dealing with insurance claims while you are incapacitated
- Managing rental properties during an extended absence
- Managing specific legal proceedings
- Operating a business account for designated purposes
The role of the agent is to ensure your affairs stay current when you’re out of state or incapacitated.
What are the requirements for a limited power of attorney?
To create an actionable power of attorney, the following conditions must be met:
- You must be at least 18 years old
- You must have the mental capacity to understand the document that you are signing
- You must sign the document in front of a notary
- You must specify which powers you are granting in detail
Virginia law requires that specific powers, including those related to real estate transactions, be explicitly stated in the document to be legally binding. The document should clearly identify which powers the agent will have. Your best bet is to contact a Virginia estate planning attorney to draft a limited power of attorney.
Which powers am I allowed to grant?
Limited power of attorney authorizes your agent to handle specific tasks like:
- Real estate transactions (sales, purchases, and lease agreements)
- Banking operations (deposits, withdrawals, and check writing)
- Investment decisions for specific accounts or assets
- Contract negotiations
- Tax document preparation
- Insurance issues (filing claims and changing policies)
- Registering a vehicle or selling a vehicle
- Acquiring or selling stocks and bonds
- Management of Social Security, Medicare, or other government benefits
By clearly defining the specific powers the agent has, your agent will know specifically what they have to do, which reduces the risk of misunderstandings or unauthorized transactions.
Limitations and restrictions on limited power of attorney
What can a limited power of attorney not do?
- Make any decision beyond the scope specified in the document
- Transfer the POA to another person
- Act after the POA expires
- Make medical decisions (unless specifically vested)
- Change your will
- Vote on your behalf
- Make gifts of your property unless specifically authorized
- Change your beneficiary designations on life insurance or retirement accounts
- Access your email or social media without authorization
Talk to a Virginia Beach Estate Planning Attorney Today
The Law Office of Angela N. Manz represents the interests of Virginia Beach residents who want to draft a comprehensive estate plan. Call our Virginia Beach estate planning lawyers today to schedule an appointment, and we can go over your goals and concerns immediately.
