Legal Question in Wills and Trusts in Oregon

Re: wording of durable power of attorney

The trust will be controlled by the terms of the trust. What does the trust say?

Re: wording of durable power of attorney

Actually, Oregon does not recognize "springing" powers of attorney, which are those, like your mother's, where the power of attorney is only effective upon the happening of something at a later date. (In your mother's case, this is the later disability).

It is likely that no bank is going to be willing to accept this power of attorney, regardless of whether you have any letters from doctors regarding her disability. (The law does not force a bank to accept a power of attorney, they can refuse to recognize it.)

If the bank account is in the name of the trust (rather than just your mother's name) then you (and the bank) would have to look at the language in the trust relating to the initial trustee's disability, if the trust even contains language to that effect (it should, but not all do). That language would control the replacement of your mother as the trustee. The replacement trustee would then have the right to deal with any bank accounts owned by the trust.

If your mother is not currently disabled, she should consider getting a power of attorney that meets the requirements of Oregon law. She may also want someone to review the trust to make sure that the language relating to changes in trustee is workable.

Our office offers consultations in this area, please give us a call.