Lasting Power of Attorney and Property and Financial affairs: FAQs

Lasting Power of Attorney (LPA) is a document signed by a person while they still have mental capacity in anticipation of the possibility that they may lose mental capacity at some point in the future.

A LPA gives authority to another person to make decisions on behalf of the donor if the donor loses mental capacity.

People may lose mental capacity for a variety of reasons as medical advances prolong our lives. There is a growing number of elderly who lose mental capacity even though they may have many years to live.

However this is not just a problem for the elderly. People of any age can lose mental capacity as a result of accident or illness.

Why are LPAs so Important?

The reason LPAs are so important is that the loss of mental capacity can leave a person in a situation where no one has the legal authority to make legal decisions on their behalf.

Family members often think that they will have the legal right to make decisions on behalf of a loved one in such situations, but for the most part this is not the case. Spouses do not get automatic authority to make decisions and neither do children or parents.

How is an LPA put in place?

If an LPA is not in place the only way family members or friends can get legal authority to make decisions on behalf of a loved one is by making an application to the Court of Protection. This process is costly, cumbersome and can take much longer than putting an LPA in place.

Are there different types of LPA?

LPA's come in 2 types:

1. Health and Welfare LPAs: cover decisions such as care provisions, living arrnagements, and consent to medical treatments

2. Property and Financial Affairs LPAs: cover decisions such as spending, making investments, bank accounts and property

People can have one or both types in place and can have the same or different attorneys.

How is an LPA put in place and who is involved?

In order to put an LPA in place a specific set of forms needs to be completed and the involvement of at least 3 people is needed. These include:

1. the donor2. the certificate provider3. the attorney4. the person to be notified when the LPA is registered

When and how can an LPA be used?

An LPA can only be used once it has been registered with the Office of the Public Guardian. While an LPA does not have to be registered it cannot be used by the attorneys until it is.

When should people consider making an LPA?

People should consider making an LPA alongside making their will. Putting an LPA in place can provide peace of mind for yourself and loved ones.

For advice on LPAs, wills, trusts and probate matters contact IBB Solicitors on 01494 790002 or email estatemanagement@ibblaw.co.uk.

Resources:

For advice and to contact our Wills and Trusts SolicitorsFor advice and to contact our Lasting Power of Attorney SolicitorsFor advice and to contact our Probate Solicitors For advice on how to contest a will (contentious probate) How to Administer an Estate: The Key Probate, Wills and Inheritance Tax Issues

Wills, Trusts and Probate Solicitors, IBB SolicitorsThe Bury, Church St, Chesham, Buckinghamshire HP5 1JE