Legal Question in Personal Injury in Arizona

Re: Special power of attorney

A power of attorney is used so an agent can act on behalf of the principal without his signature. Inquire of your attorney why he or she needs a power of attorney instead of you signing.

When a case is settled, there is generally a Release that is signed by the claimant (you) and possibly, with a few companies, by the attorney. The check is usually made payable to the claimant and the attorney, so both must indorse. The check is then deposited in the attorney trust account, and after the appropriate time, the proceeds are disbursed to you, the attorney, and to pay any medical liens.

In our practice we only use a power of attorney if the claimant has moved out of state. Even then, we use a settlement closing document that itemizes the distribution of the settlement, which the client approves in advance.

We never want a situation where the client feels that he was not informed of the settlement amount or the exact distribution to all, and you do not want that either. Make sure you are informed and in agreement on the settlement and distribution, so that the attorney does not act without your consent and agreement.

I believe that these procedures are followed in most offices. The closing statement is required, but we do it in advance at the time of the settlement, not later upon distribution. This protects the client and the attorney both so that there is complete agreement, consent and everyone is fully informed before the case is settled.

Hope this helps.

James D. Jenkins