Legal Question in Wills and Trusts in Massachusetts
responsibilities of a power of attorney
my husband has power of attorney for his 49 year old brother who now resides in a nursing home. He did this to help him better manage his money while he was living at home, as he was an alcholic. Is my husband responsible for any bills that his brother has occured (medical bills, utility bills, late mortgage payments, etc.) and if so, can we have this power of attorney revolked so our home will not be in jepordy?
4 Answers from Attorneys
Re: responsibilities of a power of attorney
Hopefully not a problem, and normally not be a problem,
but it isn't right to give that opinion without a review of the actual text.
I (or any lawyer) ought to see the actual document (or at least
all the text of it, if you're willing to send that by e-mail). It would be
irresponsible otherwise. The document may indeed commit your
husband to, for example, provide for your brother's necessities. However,
it seems unlikely, especially if the document is entitled simply
"Power of Attorney" or "Durable Power of Attorney". But it is still
possible!
Power of Attorney forms are hand-crafted and individualized. Is there
some reason you haven't asked the attorney who drafted it for you these
questions? Don't be afraid to call him or her and ask.
A powerholder (your husband), if he holds the power and thus controls
the principal's (his brother's) assets, will probably be under obligation to
pay his necessities FROM THOSE ASSETS.
Was your husband's brother competent to give that power at the time he
signed it? Does the document prescribe a procedure for revocation of the power (and
is Brother competent now to make that revocation? (Normally, your husband
could resign at any time, so don't sweat, although he can't take
his brother's money and then resign without properly accounting
for the property!)
You should find out if the power is a springing power (which only
becomes effective once the principal (brother) becomes incompetent,
and if so what conditions trigger (make effective) the power. How
incompetence is determined, and in my opinion, USUALLY should be an
easy threshhold to establish, not one requiring a series of doctors
to certify his incompetence, unless Brother is very wealthy and has
routine contact with several doctors.
If it's not a springing power, then it is very important that it be a "durable" power,
one which stays effective ("survives")
his brother's becoming incompetent. There's a statute
which suggests wording for making these powers durable
and they should be followed and even referred to.
If you wish to have me look over the text, you may send it to me:
Stuart Williams
Law Offices of Stuart J. Williams
21 Walter St.
Newton, MA
02459-2509
Fax 617 527-1763.
But first please answer my questions, especially the one
about contacting the drafting attorney. Also please tell me what city
you live in and where Brother resides.
Stuart Williams
Law Offices of Stuart J. Williams
21 Walter St.
Re: responsibilities of a power of attorney
Under a power of attorney, a person can only be sued for contracts that the attorney actually signs. If
your husband only pays checks, then he can't be sued and your house is not in jeopardy. However, if
he personally guarantees a contract he may be sued. You may wish to consider other methods of
protecting your home such as making sure you own your house with the modern type of tenancy by the
entireties and with a homestead.
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Alan Pransky
Law Office of Alan J. Pransky
20 Eastbrook Road
Re: responsibilities of a power of attorney
Don't worry -- Your house is not in jeopardy. Your husband's power of attorney does not mean that he
becomes personally liable for his brother's debts. It means that he can perform any
legal act which his brother could perform, i.e., he "stands in the shoes" of his
brother, but his brother remains responsible for any liability associated with
those acts.
You should have the power of attorney document reviewed by an attorney to ascertain whether
it is durable. If it is durable, that means that it remains in effect even if his brother becomes
legally incompetent due to his illness and your husband can continue to manage his affairs without
the necessity of a guardianship. If it NOT durable and his brother is incompetent, a guardianship
may be necessary.
Feel free to contact me at [email protected] or 401-885-7200 if I can be
of further assistance, as I am admitted to practice in Massachusetts and
Rhode Island.
Patricia Joyce
Law Office of Patricia M. Joyce
Suite 25, 1050 Main Street
Re: responsibilities of a power of attorney
A Power of Attorney, by itself, will not cause you to incur any liabilities for the debts of your husband's brother. The power of attorney should be read carefully, and if it is like most standard documents, it simply permits your husband to transact business in his brother's name.
Your husband may be responsible for his brother's debts if the power of attorney was worded to provide for his taking responsibility (which would be very unusual, but possible), or if your husband co-signed for debts incurred by his brother.
You can take all of the documents to an attorney in your area, and spend a half hour going over the situation. You can likely do this with a minimum charge, certainly less than $100 if you ask for an introductory session of just a half hour. The peace of mind will make this the best money you have spent. Put your mind at ease, and have an attorney look at the documents and give you a professional opinion. If you are on the hook, he or she can tell you what you need to do to eliminate your personal liability, if that is possible.
Thomas Workman
Law Offices of Thomas Workman
41 Harrison Street, Taunton, MA