LPAs are legal documents where a person (Donor) appoints someone else (Attorney) to act and sign for them, usually designed for circumstances where the Donor becomes incapable either mentally or physically.
Having given a recent talk (prior to the lockdown in March, so not so recent now) at a charity event for vulnerable persons, it has become ever more important for LPAs to be drawn up when you the Donor is not in a vulnerable state or near to incapacity. Doing them whilst healthy, without worry and with clear thought is the correct thing to do. We advise everyone to do them properly, store them and then forget about them until they are needed!
It is most usual for our clients to ask us to set up LPAs at the same time they undertake or review their Wills. LPAs provide the effect of a lifetime ‘Executor’ (being usually your spouse/children or a combination of them) to assist you in administering your finances and care decisions for circumstances where you cannot do so.
There are two types:
Property and Financial Matters: Decisions on banking, investments, buying and selling property. This can apply from the date it is registered; and
Health and Care Decisions: Decisions on medical treatment, life-sustaining treatment, care, operations, medicine. This only applies in the event of mental incapacity.
Do you already have both types of LPA?
Check that you know where your certified copies are held, as well as the originals. If we have set these up for you, we will hold the originals. If Rob set these up at one of his previous firms, then please ask us to forward a letter of authority to you so they can be released to us for checking and storage if you have not already done this.
Do you have only the Property and Financial LPA?
We suggest you speak to us about undertaking the Health and Care LPA. It is increasingly the case that doctors and hospital staff will consult, but not take decisions, from family or next of kin without sight of the certified Health & Care LPA.
‘Enduring Powers of Attorney’ (EPA) – Do you still have these but no financial LPA?
Although it is still likely to be a valid legal document, the EPA is becoming less and less recognised and understood by bank staff and is more limited in scope than the LPA for Finance and Property. The EPA also does not cover health or care decision-making.
If you do not have LPAs: ask yourself whether you believe it is something you wish to do at some stage of your life. If the answer is ‘Yes’ then it makes sense not to wait to set it up later. It is a document that is guaranteed by the Government for life. Not knowing the future, why not protect yourself now and for the rest of your life, rather than risk your loved ones having to go down the Court of Protection route should anything unexpected happen to you. The LPA can stay in place for life and it is only on death that your Will (and your executors) take over!
If you’d like a chat to see how I can help, please get in touch.