What is power of attorney?
POA (Power Of Attorney) refers to a person who is being authorized by a person who gives all his rights to the person authorized. The powers of the Person being adorned are called as Agent and the person who transfers the power is called as Principal. There exists a principal and agent relationship. Power of Attorney (POA) is to be registered by the principal for the agent, who is to act on behalf of the principal.
All most in the jurisdictions, attorneys are not being called as lawyers. Agent an attorney-in-fact acts trust on behalf of the Atoner. The law expects the agents to act honestly and with loyalty to the atoner in their fair contracts existing between them.
The contract between them is considered Separate since the Attorney is paid by the attorney. The contract between the principal and agent should be in writing and the Document is kept private among them.
As the Power of Attorney is concerned it is not organized the attorney acts as trustee or as a stakeholder who takes the subscriber’s fund’s custody which has considered as deposits. These Funds are being used to pay for the insurance. The funds there off is paid fully for the debts occurred and also for the insurance claims. The funds that are left over after distributing these debts and insurance claims are being returned.
Being the Attorney, when the Rights are transferred to attorney he / she does not have any right against their estates. The attorney is responsible for the happenings around the attorney’s estate. Thus when powers transferred the principle has no right on it.
