POWER OF ATTORNEY: CHARACTERISTICS, TYPES, FUNCTIONS, PARTS, USES - CULTURE VOCABULARY - 2024

A power of attorney is a private document where a person authorizes a third party to make decisions or actions on a particular aspect. It is a text where an individual delegates authority to a specific person in order for them to represent him or her in certain legal or administrative matters.

In other words, power of attorney are documents that allow an individual to act on behalf of another person, be it a friend, partner, relative, co-worker, partner or any acquaintance. These documents are widely used, for example, by business owners in order to allow their employees to withdraw a check made out to them or to sign in their absence.

Likewise, this type of document usually uses an informal style that does not necessarily require the presence of a lawyer and it does not have to be notarized to be valid. It only requires the presence of two witnesses to sign the text, which may vary depending on the regulations of the country of origin of the signatories.

What should a power of attorney include?

Despite the simplicity of the document, it is necessary that it carefully specify the implications or functions that are authorized in the letter, in order to avoid misunderstandings or inconveniences in the future.

For this same reason, it is recommended to clearly delimit the degrees that are granted to the bearer of the document and choose a responsible person as representative.

In conclusion, in a power of attorney it must be well specified who or who will assume the power; The powers that will be granted to these people must also be delimited, together with the signature of the participants.

It is important that these signatures are identical to the other legal documents, since a signature works like the seal of an individual and changing it is considered a crime. Also, an incorrect signature instantly invalidates the document that was redacted.

Although these documents do not require the presence or direct intervention of a lawyer, it is usually recommended that the grantor seek legal advice to guide him during the process of preparing the letter. In this way, future complications are avoided and the transaction is expedited.

Characteristics of power cards

Power of attorney are documents that allow an individual to act on behalf of another person, be it a friend, partner, relative, co-worker, partner or any acquaintance. Source: pixabay.com

Power cards are characterized by:

- Use simple language that does not require the writing of a lawyer.

- Describe in detail the representation that the attorney will exercise, together with the duration of this power.

- Specify who grants the power and who or who will be the proxies, placing their respective names, identification data (for example, identity card) and signatures.

- It is a limited document, which means that the attorney-in-fact cannot exercise other actions that have not been placed in the text.

- The person who grants the power of attorney can at any time decide on any element specified in the letter. This means that, although the attorney-in-fact can make decisions regarding a matter, the person represented continues to maintain control over that matter.

- The represented has the right to close the letter whenever he wishes, even if it does not coincide with the term specified in the letter.

Power of attorney types

These documents can be classified in two ways: according to their purpose and according to their breadth or temporal duration.

According to its purpose

- Power of attorney letter

This letter is used to accredit a person as proxy for the activities of another individual in terms of legal character. It is a model widely used by companies and institutions, since it allows you to delegate certain tasks to other people; it also allows representatives to execute some specific decisions on behalf of the company.

Power of attorney letters can be revoked, although the validity can also be unlimited, depending on the needs of the institution or person issuing it.

The administrative power of attorney allows a representative to carry out administrative and commercial procedures; it also offers the attorney-in-fact the opportunity to do business on behalf of the person represented.

These letters allow a third party to close or open bank accounts, apply for mortgages or loans, and sell or buy property. It is one of the most used documents, but also the one with the highest risk. This is because, if the correct attorney-in-fact is not selected, it can cause the principal to obtain debt or other financial problems.

- Simple Power of Attorney

It is a simple document in which the attorney-in-fact delegates a person to be in charge of carrying out procedures or procedures that the represented party cannot do. In this case, the representative can act in a general or limited way depending on the needs of the person.

Thanks to these procedures, people can choose someone to renew their circulation card, change license plates, register, among other vehicle aspects. It also allows the attorney-in-fact to carry out government procedures related to intellectual property.

- Letter of judicial power

The letter of judicial power, as its name indicates, is responsible for delegating problems or strictly judicial activities. This type of document is used mainly by lawyers, who represent their clients in case of lawsuits, complaints or other offices related to legal agencies.

These letters are characterized by their strictly temporary duration, since the power of attorney is revoked as soon as the judicial process is completed.

According to its amplitude or duration

- General Power Cards

These letters allow the attorney-in-fact to comply with different procedures for an indefinite period of time. Therefore, the representative can handle the transactions and / or documents without a specific time limit.

- Specific power cards

These letters are written with the objective of fulfilling a series of particular matters in a given period of time. For this reason, the validity of this document ends when the process or activity has been completed.

Features

Power of attorney are instruments that allow an individual to appoint a trusted person as his / her attorney-in-fact or representative in the event that the represented party cannot be present, either for travel, health, business reasons, among others.

These documents are very useful in today's modern societies, since they allow better time management and a more adequate distribution of tasks. Likewise, it is a fundamental tool that allows the signatories to establish legal terms that protect the interests of both.

Parts or structure

Power of attorney must have the signature of the parties, along with the signature of the two witnesses present. Source: pixabay.com

Every power of attorney must have:

- Place and date of issuance of the letter.

- Title of the document, which is generally "power of attorney".

- Identification of the represented or grantor, where the name and identity card or other document that serves to identify it is usually specified. Some people add other information such as marital status or profession.

- Identification of the representative or attorney-in-fact, where the same information that is requested from the represented is placed.

- Description of the power granted, which refers to the activities or decisions that the represented party is delegating to the attorney-in-fact. This indication should be made in a detailed and easy to understand way.

- Date of duration of the letter (in case of being unlimited, it must also be placed).

- Signature of the parties, together with the signature of the two witnesses present.

Uses of the Power of Attorney

Generally, power cards are used to:

- Certain banking procedures such as opening or closing accounts.

- Cash or withdraw checks.

- Procedures related to vehicles, such as change of registration, ownership, address, circulation card, among others.

- Procedures related to both physical (real estate) and intellectual property (copyright).

- Remove parcels sent by mail.

- Delegate work tasks to subordinates, such as secretaries.

Example of a simple power of attorney

Mexico City, February 17, 2020.

Letter of power

Hereby, I, María Carolina Palacios, with identity card 24,346,890, authorize Mr. Carlos Seijas Rondón, with identity card 23,465,456 to:

- Collect all the documents related to my academic record.

- Request data or information about my academic record for this semester and the following ones.

- Manage the necessary procedures that are related to said documents.

- Collect all my documentation of an unofficial nature.

This power of attorney is valid from February 18, 2020 until February 18, 2021. Copies of the identity cards of all the signatories are attached with this document.

Grantor signature:

Attorney's signature:

Witness 1 Signature:

Witness 2 Signature:

References

1. SA (2019) What is a power of attorney? Types of power of attorney and examples. Retrieved on February 7, 2020 from cartapoder.info
2. SA (sf) Sample power of attorney. Retrieved on February 7, 2020 from examplede.com
3. Tovar, P. (sf) Power of attorney: characteristics, functions and model. Retrieved on February 7, 2020 from Lifeder.com
4. Ucha, F. (2010) Definition of power of attorney. Retrieved on February 7, 2020 from definicionabc.com
5. SA (sf) Sample power of attorney. Retrieved on February 7, 2020 from up.edu.mx
6. SA (2019) Simple power of attorney for procedures. Retrieved on February 7, 2020 from Modelo-carta.com
7. Bilski, E. (nd) Function of the Power of Attorney. Retrieved on February 7, 2020 from function.info