Definition of Springing Power of Attorney

Springing power of attorney rights "spring" into effect when the grantor becomes incomptent.

Springing powers of attorney "spring" into effect when the "principal"--the person granting the powers--is deemed incompetent or disabled. An individual--or principal--grants power of attorney to a third party agent so that the agent can manage the principal's affairs once the principal is unable to do so.

Rights Granted to Agent

Springing powers of attorney grant an agent the right to handle a wide range of property matters, securities transactions, family maintenance and tax issues on the principal's behalf. In some states, a physician's diagnosis alone is enough to establish incompetence. Judicial proceedings are an additional requirement in other states.

Rights Not Granted to Agent

Unless otherwise authorized, agents with springing powers of attorney do not have the right to make medical or health care decisions on behalf of the principal. Other limits to springing powers of attorney can be arranged between the principal and the agent prior to the grant taking effect.

Legality

The grantor of springing power of attorney pre-chooses the physicians who ultimately determine competence. Only after a physician deems the principal incompetent may the agent begin exercising springing powers of attorney. In some states, you may be required to register a grant of springing power of attorney with a county clerk or deed office before banks or government agencies will recognize the agreement.

References

• University of Maryland University College: Estate Planning: Basics of Creating a Power of Attorney
• Connecticut General Assembly: AAC Springing Power of Attorney Notes

Resources

• Harford County Maryland Office on Aging: Power of Attorney
• United States Marine Corps: The Power of the Power of Attorney