Powers of Attorney for Property
Please note that the following information is being provided for educational and informational purposes and does not constitute legal advice.
Here is the second part of a series of blogs all about Power of Attorneys for Property in Ontario.
What are the legal requirements to have a valid Power of Attorney for Property in Ontario?
To have a valid Power of Attorney under the Ontario Substitutes Decision Act:
- The document itself must state that it is a continuing power of attorney or otherwise express the intention that the authority given may be exercised during the grantor’s incapacity to manage property.
- The document must authorize a person to be an attorney.
- The grantor (i.e. the person giving the power of attorney) must have capacity to give the continuing power of attorney (i.e. through knowledge, awareness, appreciation, etc.).
- A person with capacity is capable of revoking a continuing power of attorney.
- The document must be signed by two witnesses who are (among other things) not the grantor or attorney’s spouse or partner, a person less than 18 years old, or a child of the grantor (or someone who the grantor has demonstrated a settled intention to treat as his or her child).
The Power of Attorney need not be in a set form or template: s. 7(7.1) of the Ontario Substitutes Decision Act.
A word or two on the requirement that the grantor must have sufficient capacity to grant the power of attorney. The grantor must be over the age of 18 and must be mentally capable as demonstrated by things like:
- knowing what kind of property he or she has and it’s approximate value;
- is aware of the obligations owed to his or her dependents;
- knows that the attorney must account for his or her dealings with te person’s property;
- knowing what authority is being granted to the attorney;
- appreciates that the attorney’s mismanagement could result in a decline of the value of property; and
- understanding the consequences of an attorney misusing their authority.
When does the Power of Attorney for Property take Effect?
It’s important to remember that a Power of Attorney for Property takes effect as soon as it is signed. If you want the Power of Attorney to apply only at a certain time (e.g. when you end up at a hospital because you are mentally incapacitated or otherwise incapable of managing your property but not dead – as this will trigger your Will if you have one), then your Power of Attorney should clearly state that.
In case you were looking for a Continuing Power of Attorney legal form, look no further:
I’m pleased to announce that we have just released our latest software for 7 Canadian Provinces:
The Power of Attorney Wizard will allow users to make a custom-tailored .pdf Power of Attorney for property and financial matters. There’s nothing else like it on the Internet. It’s been in the works for many months and will be available for the following provinces:
- British Columbia
- New Brunswick
- Nova Scotia
So what makes the Power of Attorney Wizard so great? A lot! It is the most advanced, comprehensive, and flexible software out there for making a Power of Attorney (including Enduring Powers of Attorney). The amount of detail that went into this software is truly amazing. Here are some highlights:
- Very comprehensive (nothing else comes close)
- Very flexible in terms of the options (again, nothing else comes close)
- Based on provincial POA laws (unlike other kits)
- Created by a Canadian lawyer (i.e. me)
- Comes with free signing instructions
- Comes with free edits for 90 days
- Comes with free eBook about Powers of Attorney for your Province
- It will be regularly updated (particularly when the laws change)
- Affordable: only $57 + tax!
I’m very excited about the Power of Attorney Wizard. It will go hand in hand with Canada’s #1 Will-creation software: the Will-O-Matic, which is offered exclusively here on DynamicLegalForms.com. I’m sure the Power of Attorney Wizard will get as much fanfare from the public and the press as the Will-O-Matic has received in the short time that it has been around.