HOUSE BILL No. 4180

January 30, 2007, Introduced by Reps. Wenke, Steil, Byrnes, Gillard, Nitz, Hune, Nofs, Stakoe, Emmons, Rick Jones, Gaffney, Shaffer, Tobocman, Sheltrown and Leland and referred to the Committee on Judiciary.

 

      A bill to make uniform the law relating to the designation

 

of agents to act for principals under powers of attorney; to

 

provide for the powers of designated agents; to provide for an

 

optional form for powers of attorney; to provide remedies; and to

 

repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

 1                            ARTICLE 1

 

 2                  GENERAL PROVISIONS AND POWERS

 

 3        Sec. 101. This act shall be known and may be cited as the

 

 4  "uniform power of attorney act".

 

 5        Sec. 102. As used in this act:


 

 1        (a) "Agent" means a person granted authority to act for a

 

 2  principal under a power of attorney and includes the original

 

 3  agent and any co-agent or successor agent.

 

 4        (b) "Court" means the family division of circuit court.

 

 5        (c) "Durable," with reference to a power of attorney, means

 

 6  that the agent's authority survives the principal's incapacity or

 

 7  takes effect on the principal's incapacity.

 

 8        (d) "Incapacity" means inability of an individual to manage

 

 9  property or business affairs because of an impairment in the

 

10  ability to receive and evaluate information or make or

 

11  communicate decisions even with the use of technological

 

12  assistance, or because the individual is missing, detained, or

 

13  outside of and unable to return to the United States.

 

14        (e) "Person" means an individual, corporation, business

 

15  trust, estate, trust, partnership, limited liability company,

 

16  association, joint venture, public corporation, government,

 

17  governmental subdivision, agency or instrumentality, or any other

 

18  legal or commercial entity.

 

19        (f) "Power of attorney" means an instrument in which a

 

20  principal grants authority to an agent to act as attorney in fact

 

21  for the principal.

 

22        (g) "Principal" means an individual who grants authority to

 

23  an agent in a power of attorney.

 

24        (h) "Property" means anything that may be the subject of

 

25  ownership, whether real or personal, legal or equitable, or any

 

26  interest in such a thing.

 

27        (i) "Record" means information that is inscribed on a


 

 1  tangible medium or that is stored in an electronic or other

 

 2  medium and is retrievable in perceivable form.

 

 3        (j) "Sign" means to do either of the following with the

 

 4  present intent to authenticate or adopt a record:

 

 5        (i) Execute or adopt a tangible symbol.

 

 6        (ii) Attach to or logically associate with the record an

 

 7  electronic sound, symbol, or process.

 

 8        (k) "State" means a state of the United States, the District

 

 9  of Columbia, Puerto Rico, United States Virgin Islands, or any

 

10  territory or insular possession subject to the jurisdiction of

 

11  the United States. State includes an Indian tribe or band

 

12  recognized by federal law or formally acknowledged by a state.

 

13        Sec. 103. This act applies to all powers of attorney except:

 

14        (a) To the extent a power of attorney is coupled with an

 

15  interest in the subject of the power.

 

16        (b) A power given to another person to make health care

 

17  decisions.

 

18        (c) A proxy given to another person to exercise voting

 

19  rights.

 

20        (d) A power given to or for the benefit of a creditor in

 

21  connection with a credit transaction.

 

22        (e) A power contained in the governing document of a

 

23  corporation, partnership, limited liability company, association,

 

24  or other legal entity by which a director, partner, or member

 

25  authorizes others to act on behalf of the entity.

 

26        (f) A power created for a governmental purpose on a form

 

27  prescribed by a government or governmental subdivision, agency,


 

 1  or other instrumentality.

 

 2        Sec. 104. (1) Subject to subsection (2), an individual has

 

 3  knowledge of a fact involving a power of attorney if 1 or more of

 

 4  the following are true:

 

 5        (a) The individual has actual knowledge of the fact.

 

 6        (b) The individual has received a notice or notification of

 

 7  the fact.

 

 8        (c) From all the facts and circumstances known to the

 

 9  individual at the time in question, he or she has reason to know

 

10  the fact.

 

11        (2) An organization has notice or knowledge of a fact

 

12  involving a power of attorney from the time the fact is brought

 

13  to the attention of the individual conducting a transaction, or

 

14  from the time the fact would have been brought to the attention

 

15  of the individual conducting the transaction if the organization

 

16  had exercised reasonable diligence. If an organization conducts

 

17  activities through branch or multiple offices, notice to a branch

 

18  or office other than the office where the power of attorney is

 

19  presented is attributable to the individual conducting the

 

20  transaction not later than 3 business days from the date of

 

21  notice to the branch or other office.

 

22        (3) As used in this section:

 

23        (a) "Organization" means a person that is not an individual.

 

24        (b) "Reasonable diligence" means the maintenance of and

 

25  reasonable compliance with reasonable routines for communicating

 

26  significant information to the individual conducting a

 

27  transaction. Reasonable diligence does not require an individual


 

 1  acting for the organization to communicate information unless the

 

 2  communication is part of the individual's duties or the

 

 3  individual has reason to know of a transaction and that the

 

 4  transaction would be materially affected by the information.

 

 5        (c) "Transaction" means a transaction that is conducted for

 

 6  the organization and that involves the power of attorney.

 

 7        Sec. 105. (1) A power of attorney is durable unless it

 

 8  expressly provides that it is terminated by the incapacity of the

 

 9  principal.

 

10        (2) An act performed by an agent under a power of attorney

 

11  has the same effect and inures to the benefit of and binds the

 

12  principal and the principal's successors in interest as if the

 

13  principal had performed the act. Unless the power of attorney

 

14  provides a time of termination, the authority of an agent is

 

15  exercisable notwithstanding a lapse of time since the execution

 

16  of the power of attorney.

 

17        Sec. 106. For a power of attorney to be effective, the

 

18  principal must sign the power of attorney or direct another

 

19  individual to sign on behalf of the principal in the principal's

 

20  presence. The signature of the other individual is deemed to be

 

21  the signature of the principal. If the principal acknowledges the

 

22  principal's signature or the signature of the other individual

 

23  before a notary public or another individual authorized to take

 

24  acknowledgments, the signature is presumed to be genuine.

 

25        Sec. 107. (1) A power of attorney executed in another state

 

26  or country is valid and enforceable in this state if its creation

 

27  complied when executed with 1 or more of the following:


 

 1        (a) The law of the state or country in which the power of

 

 2  attorney was executed.

 

 3        (b) The law of this state.

 

 4        (c) The law of the state or country where the principal

 

 5  intended the agent to act on behalf of the principal.

 

 6        (2) A power of attorney executed in this state before the

 

 7  effective date of this act is valid and enforceable in this state

 

 8  if its creation complied with the law of this state as it existed

 

 9  at the time of execution.

 

10        Sec. 108. If a provision of this act conflicts with the

 

11  terms of a power of attorney, the terms of the power of attorney

 

12  control unless the public policy of this state clearly prohibits

 

13  or restricts what the terms of the power of attorney purport to

 

14  authorize. This act may not be applied to enlarge the scope of

 

15  authority granted to an agent in a power of attorney executed in

 

16  or intended for use in another state or country or executed under

 

17  preexisting law.

 

18        Sec. 109. (1) In a power of attorney, a principal may

 

19  nominate a conservator or guardian of the principal's estate or a

 

20  guardian of the principal's person for consideration by the court

 

21  if protective proceedings for the principal's estate or person

 

22  are later commenced. Except for good cause or disqualification,

 

23  the court shall make its appointment in accordance with the

 

24  principal's most recent nomination in a power of attorney.

 

25        (2) If, after the execution of a power of attorney, a court

 

26  appoints a conservator or guardian of the principal's estate, or

 

27  other fiduciary charged with the management of all of the


 

 1  principal's property or all of the property with specified

 

 2  exclusions, the agent is accountable to the conservator,

 

 3  guardian, or other fiduciary as well as to the principal. The

 

 4  agent's authority continues until limited, suspended, or

 

 5  terminated by the court.

 

 6        Sec. 110. (1) An agent's authority under a power of attorney

 

 7  becomes effective when the power of attorney is executed, unless

 

 8  the principal specifies that it is to become effective at a

 

 9  future date or on the occurrence of a future event or

 

10  contingency.

 

11        (2) If a power of attorney becomes effective on the

 

12  occurrence of a future event or contingency, the principal may

 

13  authorize 1 or more persons to determine conclusively in a

 

14  writing or other record that the event or contingency has

 

15  occurred. Other persons may rely on the determination of a person

 

16  so authorized without liability to the principal or any other

 

17  person, whether or not the event or contingency actually has

 

18  occurred.

 

19        (3) If a power of attorney becomes effective on the

 

20  principal's incapacity and the principal has not authorized a

 

21  person to determine that the principal is incapacitated, the

 

22  power of attorney becomes effective on a determination in a

 

23  writing or other record by a physician or licensed psychologist

 

24  that the principal is incapacitated. Other persons may rely on

 

25  the determination of the physician or licensed psychologist

 

26  without liability to the principal or to any other person.

 

27        (4) A person authorized by the principal to determine that


 

 1  the principal is incapacitated may act as the principal's

 

 2  personal representative under sections 1171 through 1179 of the

 

 3  social security act, 42 USC 1320d to 1320d-8, or similar

 

 4  provisions later enacted, and applicable regulations, to obtain

 

 5  access to the principal's health care information and communicate

 

 6  with the principal's health care provider or physician.

 

 7        Sec. 111. (1) Subject to subsections (2) to (4), a power of

 

 8  attorney terminates when 1 of the following occurs:

 

 9        (a) The principal dies.

 

10        (b) The principal becomes incapacitated, if the power of

 

11  attorney is not durable.

 

12        (c) The principal revokes the power of attorney or

 

13  terminates the agent's authority.

 

14        (d) The agent dies or is adjudged incapacitated.

 

15        (e) The agent resigns under section 118.

 

16        (f) Proceedings are commenced for the legal separation or

 

17  divorce of the principal and agent or annulment of the principal

 

18  and agent's marriage.

 

19        (g) The date arrives on which the power of attorney states

 

20  that it will terminate.

 

21        (h) An event that under the power of attorney terminates it.

 

22        (i) The purpose of the power of attorney is accomplished.

 

23        (2) Unless a power of attorney otherwise provides, a power

 

24  of attorney is not terminated by the termination of an agent's

 

25  authority or the agent's death or resignation if the power of

 

26  attorney provides for a co-agent or successor agent.

 

27        (3) Termination of the agent's authority, revocation of the


 

 1  power of attorney by the principal, or death of the principal

 

 2  does not terminate the agency as to an agent or other person

 

 3  that, without knowledge of the termination, revocation, or death,

 

 4  acts in good faith under the power of attorney. An act so

 

 5  performed, unless otherwise invalid or unenforceable, binds the

 

 6  principal and successors in interest of the principal.

 

 7        (4) The incapacity of a principal who has previously

 

 8  executed a power of attorney that is not durable does not revoke

 

 9  or terminate the agency as to an agent or other person that,

 

10  without knowledge of the incapacity, acts in good faith under the

 

11  power of attorney. An act so performed, unless otherwise invalid

 

12  or unenforceable, binds the principal and successors in interest

 

13  of the principal.

 

14        Sec. 112. (1) Unless a power of attorney or this section

 

15  otherwise provides, all of the following apply to a power of

 

16  attorney:

 

17        (a) Authority granted to co-agents is exercisable only by

 

18  their majority consent, or if there are only 2 co-agents, their

 

19  unanimous consent.

 

20        (b) If prompt action is required to accomplish a purpose of

 

21  the power of attorney or to avoid irreparable injury to the

 

22  principal's interests and an agent is unavailable because of

 

23  absence, illness, or temporary incapacity, the other agents may

 

24  act for the principal.

 

25        (c) If a vacancy occurs in 1 or more of the designations of

 

26  agent under a power of attorney, the remaining agents may act for

 

27  the principal.


 

 1        (2) A principal may designate 1 or more successor agents to

 

 2  act if an agent resigns, dies, becomes incapacitated, is not

 

 3  qualified to serve, or declines to serve. A principal may grant

 

 4  authority to another person, designated by name, by office, or by

 

 5  function, including an agent, to designate 1 or more successor

 

 6  agents. Unless a power of attorney otherwise provides, a

 

 7  successor agent has the same authority as that initially granted

 

 8  to the agent he or she succeeds.

 

 9        (3) An agent is not liable for the actions of another agent,

 

10  including a predecessor agent, unless the agent participates in

 

11  or conceals a breach of fiduciary duty committed by the other

 

12  agent. An agent who has knowledge of a breach or imminent breach

 

13  of fiduciary duty by another agent shall notify the principal,

 

14  and, if the principal is incapacitated, take any action

 

15  reasonably appropriate in the circumstances to safeguard the

 

16  principal's best interests.

 

17        Sec. 113. If a power of attorney does not specify an agent's

 

18  compensation, the agent is entitled to compensation that is

 

19  reasonable under the circumstances. Except as otherwise provided

 

20  in a power of attorney, an agent is entitled to reimbursement of

 

21  reasonable expenses advanced by the agent on behalf of the

 

22  principal.

 

23        Sec. 114. (1) An agent's acceptance of authority under a

 

24  power of attorney creates an agency. An agent accepts authority

 

25  under a power of attorney by exercising powers or performing

 

26  duties as an agent or by any other assertion or conduct

 

27  indicating acceptance.


 

 1        (2) Except as otherwise provided in the power of attorney,

 

 2  an agent shall do all of the following:

 

 3        (a) Act loyally for the principal's benefit in accordance

 

 4  with the reasonable expectations of the principal known to the

 

 5  agent and, otherwise, with the care, competence, and diligence

 

 6  normally exercised by agents in similar circumstances for the

 

 7  best interest of a principal.

 

 8        (b) Avoid creating a conflict of interest that would impair

 

 9  the agent's ability to act impartially in the best interest of

 

10  the principal.

 

11        (c) Keep a complete record of all receipts, disbursements,

 

12  and transactions conducted on behalf of the principal.

 

13        (d) Not perform any act beyond the authority granted by the

 

14  principal.

 

15        (e) Cooperate with a person that has authority to make

 

16  health care decisions for the principal in accordance with the

 

17  principal's expectations, if known to the agent, and, otherwise,

 

18  in accordance with what is reasonably believed by the agent to be

 

19  in the best interest of the principal.

 

20        (f) Take the principal's estate plan into account to the

 

21  extent known to the agent and attempt to preserve the plan if

 

22  consistent with the principal's best interest based on all

 

23  relevant factors, including the principal's foreseeable

 

24  obligations and need for maintenance; minimization of income,

 

25  estate, inheritance, generation-skipping transfer, or gift taxes;

 

26  and eligibility for public benefits or assistance under a statute

 

27  or governmental regulation.


 

 1        (3) An agent is not liable to a beneficiary of the

 

 2  principal's estate plan for failure to preserve the plan unless

 

 3  the agent acts in bad faith.

 

 4        (4) An agent who acts in good faith, with care, competence,

 

 5  and diligence for the best interest of the principal, is not

 

 6  liable solely because the agent also benefits from the act or has

 

 7  an individual or conflicting interest in relation to the property

 

 8  or affairs of the principal.

 

 9        (5) If an agent has skills or knowledge that exceeds those

 

10  possessed by most others, the agent's skills or knowledge is a

 

11  circumstance to be considered in determining whether the agent

 

12  has acted with due care, competence, and diligence.

 

13        (6) Absent a breach of duty to the principal, an agent is

 

14  not liable if the value of the principal's property declines.

 

15        (7) An agent that is granted and exercises the authority to

 

16  delegate to another person the authority granted by the principal

 

17  or that employs another person on behalf of the principal is not

 

18  liable for an error of judgment, act, or default of that person

 

19  if the agent exercises due care, competence, and diligence in

 

20  selecting and monitoring the person.

 

21        (8) Except as otherwise provided in the power of attorney,

 

22  an agent is not required to disclose receipts, disbursements, or

 

23  transactions conducted on behalf of the principal unless ordered

 

24  by a court or requested by the principal; a guardian,

 

25  conservator, or other fiduciary appointed for the principal; a

 

26  governmental agency that has authority to protect the welfare of

 

27  the principal; or, on the death of the principal, the personal


 

 1  representative or successor in interest of the principal's

 

 2  estate. If so requested, the agent shall comply within 30 days or

 

 3  provide a writing or other record substantiating why additional

 

 4  time is needed and shall comply within an additional 30 days.

 

 5        Sec. 115. A provision in a power of attorney relieving the

 

 6  agent of liability for breach of duty is binding on the principal

 

 7  and the principal's successors in interest unless either of the

 

 8  following applies:

 

 9        (a) The provision relieves the agent of liability for breach

 

10  of duty committed in bad faith or with reckless indifference to

 

11  the purposes of the power of attorney or the interests of the

 

12  principal.

 

13        (b) The provision was inserted as a result of an abuse by

 

14  the agent of a confidential or fiduciary relationship with the

 

15  principal.

 

16        Sec. 116. (1) A court may construe a power of attorney,

 

17  review the agent's conduct, and grant appropriate relief. All of

 

18  the following have standing to petition the court:

 

19        (a) The principal or the agent.

 

20        (b) A conservator, guardian of the estate, or other

 

21  fiduciary charged with management of the principal's property.

 

22        (c) The principal's spouse, parent, or descendant.

 

23        (d) A person who would qualify as an intestate successor of

 

24  the principal.

 

25        (e) A person named as a beneficiary to receive any property,

 

26  benefit, or contractual right on the principal's death or as a

 

27  beneficiary of a trust created by or for the principal.


 

 1        (f) A governmental agency that has regulatory authority to

 

 2  protect the welfare of the principal.

 

 3        (g) The principal's caregiver or another person who

 

 4  demonstrates sufficient interest in the principal's welfare.

 

 5        (2) The court may award reasonable attorney fees and costs

 

 6  to the prevailing party in a proceeding under this section.

 

 7        Sec. 117. An agent that violates this act is liable to the

 

 8  principal or the principal's successors in interest for the

 

 9  damages and attorney fees and costs paid from the principal's

 

10  estate resulting from the violation and for any amount awarded to

 

11  the principal or the principal's successors in interest under

 

12  section 116(2).

 

13        Sec. 118. An agent may resign by giving notice to the

 

14  principal and, if the principal is incapacitated, to the

 

15  following:

 

16        (a) The conservator or guardian, if one has been appointed

 

17  for the principal, and any co-agent or successor agent.

 

18        (b) If the principal does not have a conservator or guardian

 

19  and has not named a co-agent or successor agent, the principal's

 

20  caregiver or other person reasonably believed by the agent to

 

21  have sufficient interest in the principal's welfare.

 

22        (c) If the principal does not have a conservator or

 

23  guardian, has not named a co-agent or successor agent, and does

 

24  not have a caregiver or other person that has sufficient interest

 

25  in the principal's welfare, a governmental agency that has

 

26  authority to protect the welfare of the principal.

 

27        Sec. 119. (1) A person that in good faith accepts an agent's


 

 1  authority, without knowledge that the agent's authority has been

 

 2  terminated, a power of attorney has been terminated or is

 

 3  invalid, or the agent is exceeding or improperly exercising the

 

 4  agent's powers, is protected from liability as if the power of

 

 5  attorney were still in effect and valid and the agent had

 

 6  properly exercised the power.

 

 7        (2) A person that in good faith accepts an agent's authority

 

 8  is not required to inquire into the extent of the agent's powers

 

 9  or the propriety of their exercise but may require and rely on,

 

10  without further investigation, an agent's certification as to any

 

11  matters concerning the power of attorney or the principal.

 

12        (3) A person with which an agent seeks to act may not

 

13  require an additional or different form of power of attorney for

 

14  authority granted in the power of attorney presented.

 

15        (4) A photocopy or electronically transmitted copy of an

 

16  original power of attorney is as valid as the original.

 

17        Sec. 120. (1) Except as otherwise provided in subsection

 

18  (2), a person that refuses to accept the authority of an agent

 

19  within 5 business days of presentment of a power of attorney is

 

20  liable to the principal or the principal's successors in interest

 

21  to the same extent as the person would be liable had the person

 

22  refused to accept the authority of the principal if the principal

 

23  had the capacity to act on his or her own behalf. The amount

 

24  recoverable for refusal to accept an agent's authority is the

 

25  total of the damages from the refusal or $1,000.00, whichever is

 

26  greater, plus costs and reasonable attorney fees.

 

27        (2) A person that refuses to accept the authority of an


 

 1  agent to exercise a power granted under a power of attorney is

 

 2  not liable under subsection (1) if 1 or more of the following

 

 3  apply:

 

 4        (a) The person has knowledge of the termination of the

 

 5  agent's authority or termination of the power of attorney before

 

 6  the exercise of the power.

 

 7        (b) The person reasonably believes that the power of

 

 8  attorney is not valid under the law of this state or that the

 

 9  agent does not have authority to perform the act requested and

 

10  provides the agent with a writing or other record not more than 5

 

11  business days after the refusal that describes the reason that

 

12  the power of attorney is not valid or that the agent lacks

 

13  authority.

 

14        (c) The person has made a report in good faith to the local

 

15  adult protective services unit alleging physical or financial

 

16  abuse, neglect, exploitation, or abandonment of the principal by

 

17  the agent or has knowledge that such a report has been made by

 

18  another person.

 

19        (3) This section does not abrogate any cause of action or

 

20  remedy to which the principal or agent is entitled under the law

 

21  of this state other than this act.

 

22        Sec. 121. Unless displaced by a particular provision of this

 

23  act, the principles of law and equity, including the law relative

 

24  to capacity to contract, principal and agent, estoppel, fraud,

 

25  misrepresentation, duress, coercion, mistake, ratification,

 

26  bankruptcy, and other validating or invalidating cause,

 

27  supplement the provisions of this act.


 

 1                            ARTICLE 2

 

 2                              POWERS

 

 3        Sec. 201. (1) Subject to subsection (2), if a principal

 

 4  grants to an agent general authority that is not limited to

 

 5  express acts, subjects, or purposes for which general authority

 

 6  is granted, the agent has all the authority to act that the

 

 7  principal would have if the principal had capacity to contract,

 

 8  other than an act for which the personal action of the principal

 

 9  is required. Unless a power of attorney otherwise provides, a

 

10  grant of general authority includes all of the powers in sections

 

11  204 to 216.

 

12        (2) An agent has authority under a power of attorney to do

 

13  the following on behalf of the principal or with the principal's

 

14  property only if the power of attorney expressly grants the

 

15  authority:

 

16        (a) Create, modify, or revoke an inter vivos trust.

 

17        (b) Make a gift.

 

18        (c) Create or change rights of survivorship.

 

19        (d) Designate or change the designation of a beneficiary.

 

20        (e) Create in the agent or a person customarily supported by

 

21  the agent an interest in the principal's property through gift,

 

22  survivorship, or beneficiary designation.

 

23        (f) Delegate to another person the authority granted under

 

24  the power of attorney.

 

25        (g) Disclaim property, including a power of appointment.

 

26        (3) Authority to make a gift is also subject to section 217

 

27  unless otherwise modified by the terms of the power of attorney.


 

 1        (4) With the exception of powers granted under subsection

 

 2  (2), if powers granted in a power of attorney are similar or

 

 3  overlap, the broadest power controls.

 

 4        (5) If a principal grants inconsistent authority to 1 or

 

 5  more agents in 2 or more powers of attorney, the authority

 

 6  granted last controls to the extent of the inconsistency.

 

 7        (6) Powers granted in a power of attorney are exercisable

 

 8  with respect to interests in property that the principal has when

 

 9  the power of attorney is executed or acquires after execution,

 

10  whether or not the property is located in this state and whether

 

11  or not the powers are exercised or the power of attorney is

 

12  executed in this state.

 

13        Sec. 202. (1) An agent has a power described in this article

 

14  if the power of attorney incorporates the power by referring to a

 

15  heading or catch line added to sections 204 to 218 under section

 

16  108 of the legislative council act, 1986 PA 268, MCL 4.1108, or

 

17  citing to a specific section of sections 204 to 218.

 

18        (2) A reference in a power of attorney to a heading or catch

 

19  line added to sections 204 to 218 under section 108 of the

 

20  legislative council act, 1986 PA 268, MCL 4.1108, or a citation

 

21  to a specific section of sections 204 to 218 incorporates the

 

22  entire section as if it were set out in full in the power of

 

23  attorney.

 

24        (3) The principal may modify a power incorporated by

 

25  reference.

 

26        Sec. 203. By executing a power of attorney that incorporates

 

27  by reference a power described in sections 204 to 218, except as


 

 1  otherwise modified in the power of attorney, the principal

 

 2  authorizes the agent with respect to that subject to do all of

 

 3  the following:

 

 4        (a) Demand, receive, and obtain by litigation or otherwise,

 

 5  money or another thing of value to which the principal is, may

 

 6  become, or claims to be entitled, and conserve, invest, disburse,

 

 7  or use anything so received for the purposes intended.

 

 8        (b) Contract in any manner with any person, on terms

 

 9  agreeable to the agent, to accomplish a purpose of a transaction,

 

10  and perform, rescind, reform, release, or modify the contract or

 

11  another contract made by or on behalf of the principal.

 

12        (c) Execute, acknowledge, seal, and deliver a deed,

 

13  revocation, mortgage, security agreement, lease, notice, check,

 

14  promissory note, electronic funds transfer, release, or other

 

15  instrument or communication the agent considers desirable to

 

16  accomplish a purpose of a transaction, including creating at any

 

17  time a schedule listing some or all of the principal's property

 

18  and attaching it to the power of attorney.

 

19        (d) Prosecute, defend, submit to arbitration or mediation,

 

20  settle, and propose or accept a compromise with respect to a

 

21  claim existing in favor of or against the principal or intervene

 

22  in litigation relating to the claim.

 

23        (e) Seek on the principal's behalf the assistance of a court

 

24  to carry out an act authorized by the principal in the power of

 

25  attorney.

 

26        (f) Engage, compensate, and discharge an attorney,

 

27  accountant, expert witness, or other assistant.


 

 1        (g) Keep appropriate records of each transaction, including

 

 2  an accounting of receipts and disbursements.

 

 3        (h) Prepare, execute, and file a record, report, or other

 

 4  document the agent considers desirable to safeguard or promote

 

 5  the principal's interest under a statute or governmental

 

 6  regulation.

 

 7        (i) Communicate with any representative or employee of a

 

 8  government, governmental subdivision, agency, or instrumentality

 

 9  on behalf of the principal.

 

10        (j) Access communications intended for the principal whether

 

11  by mail, e-mail, telephone, or other means.

 

12        (k) Reimburse the agent for expenditures properly made by

 

13  the agent in exercising the powers granted by the power of

 

14  attorney.

 

15        (l) In general, do any other lawful act with respect to the

 

16  power and all property related to the power.

 

17        Sec. 204. Language granting power with respect to real

 

18  property authorizes the agent to do all of the following:

 

19        (a) Reject or demand, buy, lease, receive, accept as a gift

 

20  or as security for an extension of credit, or otherwise acquire

 

21  an interest in real property or a right incident to real

 

22  property.

 

23        (b) Sell, exchange, convey with or without covenants,

 

24  quitclaim, release, surrender, mortgage, retain title for

 

25  security, encumber, partition, consent to partitioning,

 

26  subdivide, apply for zoning, rezoning, or other governmental

 

27  permits, plat or consent to platting, develop, grant options


 

 1  concerning, lease, sublease, or otherwise dispose of an interest

 

 2  in real property or a right incident to real property.

 

 3        (c) Release, assign, satisfy, or enforce by litigation or

 

 4  otherwise a mortgage, deed of trust, conditional sale contract,

 

 5  encumbrance, lien, or other claim to real property which exists

 

 6  or is asserted.

 

 7        (d) Manage or conserve an interest in real property or a

 

 8  right incident to real property owned or claimed to be owned by

 

 9  the principal, including any of the following:

 

10        (i) Insuring against a casualty, liability, or loss.

 

11        (ii) Obtaining or regaining possession or protecting the

 

12  interest or right by litigation or otherwise.

 

13        (iii) Paying, compromising, or contesting taxes or assessments

 

14  or applying for and receiving refunds in connection with them.

 

15        (iv) Purchasing supplies, hiring assistance or labor, and

 

16  making repairs or alterations to the real property.

 

17        (e) Use, develop, alter, replace, remove, erect, or install

 

18  structures or other improvements on real property in or incident

 

19  to which the principal has, or claims to have, an interest or

 

20  right.

 

21        (f) Participate in a reorganization with respect to real

 

22  property or a person other than an individual that owns an

 

23  interest in or right incident to real property and receive and

 

24  hold, directly or indirectly, shares of stock or obligations or

 

25  other evidences of ownership or debt received in a plan of

 

26  reorganization, and act with respect to them, including all of

 

27  the following:


 

 1        (i) Selling or otherwise disposing of them.

 

 2        (ii) Exercising or selling an option, conversion, or similar

 

 3  right with respect to them.

 

 4        (iii) Voting them in person or by proxy.

 

 5        (g) Change the form of title of an interest in or right

 

 6  incident to real property.

 

 7        (h) Dedicate to public use, with or without consideration,

 

 8  easements or other real property in which the principal has, or

 

 9  claims to have, an interest.

 

10        Sec. 205. Language granting power with respect to tangible

 

11  personal property authorizes the agent to do all of the

 

12  following:

 

13        (a) Reject or demand, buy, receive, accept as a gift or as

 

14  security for an extension of credit, or otherwise acquire

 

15  ownership or possession of tangible personal property or an

 

16  interest in tangible personal property.

 

17        (b) Sell, exchange, convey with or without covenants,

 

18  quitclaim, release, surrender, create a security interest in,

 

19  grant options concerning, lease, sublease to others, or otherwise

 

20  dispose of tangible personal property or an interest in tangible

 

21  personal property.

 

22        (c) Release, assign, satisfy, or enforce by litigation or

 

23  otherwise, a security interest, lien, or other claim on behalf of

 

24  the principal, with respect to tangible personal property or an

 

25  interest in tangible personal property.

 

26        (d) Manage or conserve tangible personal property or an

 

27  interest in tangible personal property on behalf of the


 

 1  principal, including any of the following:

 

 2        (i) Insuring against casualty, liability, or loss.

 

 3        (ii) Obtaining or regaining possession, or protecting the

 

 4  property or interest, by litigation or otherwise.

 

 5        (iii) Paying, compromising, or contesting taxes or assessments

 

 6  or applying for and receiving refunds in connection with taxes or

 

 7  assessments.

 

 8        (iv) Moving from place to place.

 

 9        (v) Storing for hire or on a gratuitous bailment.

 

10        (vi) Using, altering, and making repairs or alterations.

 

11        (e) Change the form of title of an interest in tangible

 

12  personal property, except as otherwise provided in section

 

13  201(2).

 

14        Sec. 206. Language granting power with respect to

 

15  transactions concerning stocks and bonds authorizes the agent to

 

16  do all of the following:

 

17        (a) Buy, sell, and exchange stocks, bonds, mutual funds, and

 

18  all other types of securities and financial instruments, whether

 

19  held directly or indirectly, except commodity futures contracts

 

20  and call and put options on stocks and stock indexes.

 

21        (b) Receive certificates and other evidences of ownership

 

22  with respect to securities.

 

23        (c) Exercise voting rights with respect to securities in

 

24  person or by proxy, enter into voting trusts, and consent to

 

25  limitations on the right to vote.

 

26        Sec. 207. Language granting power with respect to

 

27  transactions concerning commodities and options authorizes the


 

 1  agent to do all of the following:

 

 2        (a) Buy, sell, exchange, assign, settle, and exercise

 

 3  commodity futures contracts and call and put options on stocks

 

 4  and stock indexes traded on a regulated option exchange.

 

 5        (b) Establish, continue, modify, and terminate option

 

 6  accounts with a broker.

 

 7        Sec. 208. Language granting power with respect to

 

 8  transactions concerning banks and other financial institutions

 

 9  authorizes the agent to do all of the following:

 

10        (a) Continue, modify, and terminate an account or other

 

11  banking arrangement made by or on behalf of the principal.

 

12        (b) Establish, modify, and terminate an account or other

 

13  banking arrangement with a bank, trust company, savings and loan

 

14  association, credit union, thrift company, brokerage firm, or

 

15  other financial institution selected by the agent.

 

16        (c) Rent a safe deposit box or space in a vault.

 

17        (d) Contract for other services available from a financial

 

18  institution as the agent considers desirable.

 

19        (e) Withdraw, by check, order, electronic funds transfer, or

 

20  otherwise, money or property of the principal deposited with or

 

21  left in the custody of a financial institution.

 

22        (f) Receive bank statements, vouchers, notices, and similar

 

23  documents from a financial institution and act with respect to

 

24  them.

 

25        (g) Enter a safe deposit box or vault and withdraw or add to

 

26  the contents.

 

27        (h) Borrow money at an interest rate agreeable to the agent


 

 1  and pledge as security personal property of the principal

 

 2  necessary in order to borrow, pay, renew, or extend the time of

 

 3  payment of a debt of the principal.

 

 4        (i) Make, assign, draw, endorse, discount, guarantee, and

 

 5  negotiate promissory notes, checks, drafts, and other negotiable

 

 6  or nonnegotiable paper of the principal or payable to the

 

 7  principal or the principal's order, transfer money, receive the

 

 8  cash or other proceeds of those transactions, and accept a draft

 

 9  drawn by a person on the principal and pay it when due.

 

10        (j) Receive for the principal and act on a sight draft,

 

11  warehouse receipt, or other negotiable or nonnegotiable

 

12  instrument.

 

13        (k) Apply for, receive, and use letters of credit, credit

 

14  and debit cards, electronic transaction authorization, and

 

15  traveler's checks from a financial institution and give an

 

16  indemnity or other agreement in connection with letters of

 

17  credit.

 

18        (l) Consent to an extension of the time of payment with

 

19  respect to commercial paper or a financial transaction with a

 

20  financial institution.

 

21        Sec. 209. Language granting power with respect to operating

 

22  a business authorizes the agent to do all of the following:

 

23        (a) Operate, buy, sell, enlarge, reduce, and terminate a

 

24  business interest.

 

25        (b) Subject to the terms of a partnership agreement or

 

26  operating agreement, do any of the following:

 

27        (i) Perform a duty or discharge a liability and exercise a


 

 1  right, power, privilege, or option that the principal has, may

 

 2  have, or claims to have, under the partnership agreement or

 

 3  operating agreement, whether or not the principal is a partner in

 

 4  a partnership or member of a limited liability company.

 

 5        (ii) Enforce the terms of the partnership agreement or

 

 6  operating agreement by litigation or otherwise.

 

 7        (iii) Defend, submit to arbitration, and settle or compromise

 

 8  litigation to which the principal is a party because of

 

 9  membership in a partnership or limited liability company.

 

10        (c) Exercise in person or by proxy, or enforce by litigation

 

11  or otherwise, a right, power, privilege, or option the principal

 

12  has or claims to have as the holder of a bond, share, or other

 

13  instrument of similar character and defend, submit to arbitration

 

14  or mediation, settle, or compromise litigation to which the

 

15  principal is a party because of a bond, share, or similar

 

16  instrument.

 

17        (d) With respect to a business controlled by the principal,

 

18  do any of the following:

 

19        (i) Continue, modify, renegotiate, extend, and terminate a

 

20  contract made by or on behalf of the principal with respect to

 

21  the business before execution of the power of attorney.

 

22        (ii) Determine the following:

 

23        (A) The location of its operation.

 

24        (B) The nature and extent of its business.

 

25        (C) The methods of manufacturing, selling, merchandising,

 

26  financing, accounting, and advertising employed in its operation.

 

27        (D) The amount and types of insurance carried.


 

 1        (E) The mode of engaging, compensating, and dealing with its

 

 2  accountants, attorneys, other agents, and employees.

 

 3        (iii) Change the name or form of organization under which the

 

 4  business is operated and enter into a partnership agreement or

 

 5  operating agreement with other persons or organize a corporation

 

 6  or other business entity to take over all or part of the

 

 7  operation of the business.

 

 8        (iv) Demand and receive money due or claimed by the principal

 

 9  or on the principal's behalf in the operation of the business,

 

10  and control and disburse the money in the operation of the

 

11  business.

 

12        (e) Put additional capital into a business in which the

 

13  principal has an interest.

 

14        (f) Join in a plan of reorganization, consolidation, or

 

15  merger of the business.

 

16        (g) Sell or liquidate a business or part of it at the time

 

17  and on the terms the agent considers desirable.

 

18        (h) Establish the value of a business under a buy-out

 

19  agreement to which the principal is a party.

 

20        (i) Prepare, sign, file, and deliver reports, compilations

 

21  of information, returns, or other papers with respect to a

 

22  business which are required by a governmental agency or

 

23  instrumentality or which the agent considers desirable, and make

 

24  related payments.

 

25        (j) Pay, compromise, or contest taxes or assessments and

 

26  perform any other act that the agent considers desirable to

 

27  protect the principal from illegal or unnecessary taxation,


 

 1  fines, penalties, or assessments with respect to a business,

 

 2  including attempts to recover, in any manner permitted by law,

 

 3  money paid before or after the execution of the power of

 

 4  attorney.

 

 5        Sec. 210. Language granting power with respect to insurance

 

 6  and annuities authorizes the agent to do all of the following:

 

 7        (a) Continue, pay the premium or assessment on, modify,

 

 8  rescind, release, or terminate a contract procured by or on

 

 9  behalf of the principal which insures or provides an annuity to

 

10  either the principal or another person, whether or not the

 

11  principal is a beneficiary under the contract.

 

12        (b) Procure new, different, and additional contracts of

 

13  insurance and annuities for the principal and the principal's

 

14  spouse, children, and other dependents, and select the amount,

 

15  type of insurance or annuity, and mode of payment.

 

16        (c) Pay the premium or assessment on, modify, rescind,

 

17  release, or terminate a contract of insurance or annuity procured

 

18  by the agent.

 

19        (d) Apply for and receive a loan on the security of a

 

20  contract of insurance or annuity.

 

21        (e) Surrender and receive the cash surrender value.

 

22        (f) Exercise an election.

 

23        (g) Change the manner of paying premiums.

 

24        (h) Change or convert the type of insurance or annuity with

 

25  respect to which the principal has or claims to have a power

 

26  described in this section.

 

27        (i) Apply for and procure government aid to guarantee or pay


 

 1  premiums of a contract of insurance on the life of the principal.

 

 2        (j) Collect, sell, assign, hypothecate, borrow on, or pledge

 

 3  the interest of the principal in a contract of insurance or

 

 4  annuity.

 

 5        (k) Pay from proceeds or otherwise, compromise or contest,

 

 6  and apply for refunds in connection with, a tax or assessment

 

 7  levied by a taxing authority with respect to a contract of

 

 8  insurance or annuity or its proceeds or liability accruing by

 

 9  reason of the tax or assessment.

 

10        Sec. 211. Language granting power with respect to estates,

 

11  trusts, and other relationships in which the principal is a

 

12  beneficiary authorizes the agent to act for the principal in all

 

13  matters that affect a trust, probate estate, guardianship,

 

14  conservatorship, escrow, custodianship, or other fund from which

 

15  the principal is, may become, or claims to be, entitled as a

 

16  beneficiary to a share or payment, including the power to do the

 

17  following:

 

18        (a) Accept, reject, disclaim, receive, receipt for, sell,

 

19  assign, release, pledge, or exchange, or consent to a reduction

 

20  in or modification of a share in or payment from the fund.

 

21        (b) Demand or obtain money or other thing of value to which

 

22  the principal is, may become, or claims to be entitled by reason

 

23  of the fund, by litigation or otherwise.

 

24        (c) Initiate, participate in, and oppose litigation to

 

25  ascertain the meaning, validity, or effect of a deed, will,

 

26  declaration of trust, or other instrument or transaction

 

27  affecting the interest of the principal.


 

 1        (d) Initiate, participate in, and oppose litigation to

 

 2  remove, substitute, or surcharge a fiduciary.

 

 3        (e) Conserve, invest, disburse, and use anything received

 

 4  for an authorized purpose.

 

 5        (f) Transfer an interest of the principal in real property,

 

 6  stocks, bonds, accounts with financial institutions or securities

 

 7  intermediaries, insurance, annuities, and other property to the

 

 8  trustee of a revocable trust created by the principal as settlor.

 

 9        Sec. 212. Language granting power with respect to claims and

 

10  litigation authorizes the agent to do all of the following:

 

11        (a) Assert and prosecute before a court or administrative

 

12  agency a claim, claim for relief, cause of action, counterclaim,

 

13  offset, or defense against an individual, organization, or

 

14  government, including, but not limited to, actions to recover

 

15  property or other thing of value, recover damages sustained by

 

16  the principal, eliminate or modify tax liability, or seek an

 

17  injunction, specific performance, or other relief.

 

18        (b) Bring an action to determine adverse claims, intervene

 

19  in litigation, and act as amicus curiae.

 

20        (c) In connection with litigation, procure an attachment,

 

21  garnishment, libel, order of arrest, or other preliminary,

 

22  provisional, or intermediate relief and use an available

 

23  procedure to effect or satisfy a judgment, order, or decree.

 

24        (d) In connection with litigation, perform any lawful act,

 

25  including acceptance of tender, offer of judgment, admission of

 

26  facts, submission of a controversy on an agreed statement of

 

27  facts, consent to examination before trial, and binding the


 

 1  principal in litigation.

 

 2        (e) Submit to arbitration or mediation, settle, and propose

 

 3  or accept a compromise with respect to a claim or litigation.

 

 4        (f) Waive the issuance and service of process on the

 

 5  principal, accept service of process, appear for the principal,

 

 6  designate persons on which process directed to the principal may

 

 7  be served, execute and file or deliver stipulations on the

 

 8  principal's behalf, verify pleadings, seek appellate review,

 

 9  procure and give surety and indemnity bonds, contract and pay for

 

10  the preparation and printing of records and briefs, receive and

 

11  execute and file or deliver a consent, waiver, release,

 

12  confession of judgment, satisfaction of judgment, notice,

 

13  agreement, or other instrument in connection with the

 

14  prosecution, settlement, or defense of a claim or litigation.

 

15        (g) Act for the principal with respect to bankruptcy or

 

16  insolvency, whether voluntary or involuntary, concerning the

 

17  principal or some other person, or with respect to a

 

18  reorganization, receivership, or application for the appointment

 

19  of a receiver or trustee that affects an interest of the

 

20  principal in property or other thing of value.

 

21        (h) Pay a judgment against the principal or a settlement

 

22  made in connection with litigation and receive and conserve money

 

23  or other thing of value paid in settlement of or as proceeds of a

 

24  claim or litigation.

 

25        Sec. 213. Language granting power with respect to personal

 

26  and family maintenance authorizes the agent to do all of the

 

27  following:


 

 1        (a) Perform the acts necessary to maintain the customary

 

 2  standard of living of the principal, the principal's spouse and

 

 3  children, other individuals legally entitled to be supported by

 

 4  the principal, and those individuals who the principal has

 

 5  customarily supported or indicated the intent to support,

 

 6  including providing living quarters by purchase, lease, or other

 

 7  contract, or paying the operating costs, including interest,

 

 8  amortization payments, repairs, and taxes, on premises owned by

 

 9  the principal and occupied by those individuals.

 

10        (b) Provide for the individuals described in subdivision (a)

 

11  normal domestic help, usual vacations and travel expenses, and

 

12  money for shelter, clothing, food, appropriate education, and

 

13  other current living costs.

 

14        (c) Pay on behalf of the individuals described in

 

15  subdivision (a) expenses for necessary medical, dental, and

 

16  surgical care, hospitalization, and custodial care.

 

17        (d) Act as the principal's personal representative under

 

18  sections 1171 through 1179 of the social security act, 42 USC

 

19  1320d to 1320d-8, or similar provisions later enacted, and

 

20  applicable regulations, in making decisions related to the past,

 

21  present, or future payment for the provision of health care

 

22  consented to by the principal or anyone authorized under the law

 

23  of this state to consent to health care on behalf of the

 

24  principal.

 

25        (e) Continue any provision made by the principal, for the

 

26  individuals described in subdivision (a), for automobiles or

 

27  other means of transportation, including registering, licensing,


 

 1  insuring, and replacing them.

 

 2        (f) Maintain or open charge accounts for the convenience of

 

 3  the individuals described in subdivision (a) and open new

 

 4  accounts the agent considers desirable to accomplish a lawful

 

 5  purpose.

 

 6        (g) Continue payments incidental to the membership or

 

 7  affiliation of the principal in a church, club, society, order,

 

 8  or other organization or to continue contributions to those

 

 9  organizations.

 

10        Sec. 214. Language granting power with respect to benefits

 

11  from social security, medicare, medicaid, other governmental

 

12  programs, or civil or military service, authorizes the agent to

 

13  do all of the following:

 

14        (a) Execute vouchers in the name of the principal for

 

15  allowances and reimbursements payable by the United States or a

 

16  foreign government or by a state or subdivision of a state to the

 

17  principal, including allowances and reimbursements for

 

18  transportation of the individuals described in section 213(a),

 

19  and for shipment of their household effects.

 

20        (b) Take possession and order the removal and shipment of

 

21  property of the principal from a post, warehouse, depot, dock, or

 

22  other place of storage or safekeeping, either governmental or

 

23  private, and execute and deliver a release, voucher, receipt,

 

24  bill of lading, shipping ticket, certificate, or other instrument

 

25  for that purpose.

 

26        (c) Prepare, file, and prosecute a claim of the principal to

 

27  a benefit or assistance, financial or otherwise, to which the


 

 1  principal claims to be entitled under a statute or governmental

 

 2  regulation.

 

 3        (d) Prosecute, defend, submit to arbitration or mediation,

 

 4  settle, and propose or accept a compromise with respect to any

 

 5  benefit or assistance the principal may be entitled to receive

 

 6  under a statute or governmental regulation.

 

 7        (e) Receive the financial proceeds of a claim of the type

 

 8  described in subdivision (c) and conserve, invest, disburse, or

 

 9  use anything so received for a lawful purpose.

 

10        Sec. 215. Language granting power with respect to retirement

 

11  plans authorizes the agent to do all of the following:

 

12        (a) Select a payment option under a retirement plan in which

 

13  the principal participates, including a plan for a self-employed

 

14  individual.

 

15        (b) Make voluntary contributions to those plans.

 

16        (c) Exercise the investment powers available under a self-

 

17  directed retirement plan.

 

18        (d) Make a rollover of benefits into another retirement

 

19  plan.

 

20        (e) If authorized by the plan, borrow from, sell assets to,

 

21  purchase assets from, or request distributions from the plan.

 

22        (f) Waive the right of the principal to be a beneficiary of

 

23  a joint or survivor annuity if the principal is a spouse who is

 

24  not employed.

 

25        Sec. 216. Language granting power with respect to tax

 

26  matters authorizes the agent to do all of the following:

 

27        (a) Prepare, sign, and file federal, state, local, and


 

 1  foreign income, gift, payroll, federal insurance contributions

 

 2  act, and other tax returns, claims for refunds, requests for

 

 3  extension of time, petitions regarding tax matters, and any other

 

 4  tax-related documents, including receipts, offers, waivers,

 

 5  consents, including consents and agreements under section 2032A

 

 6  of the internal revenue code, 26 USC 2032A, or similar provisions

 

 7  later enacted, closing agreements, and any power of attorney

 

 8  required by the internal revenue service or other taxing

 

 9  authority with respect to a tax year on which the statute of

 

10  limitations has not run and the following 25 tax years.

 

11        (b) Pay taxes due, collect refunds, post bonds, receive

 

12  confidential information, and contest deficiencies determined by

 

13  the internal revenue service or other taxing authority.

 

14        (c) Exercise any election available to the principal under

 

15  federal, state, local, or foreign tax law.

 

16        (d) Act for the principal in all tax matters for all periods

 

17  before the internal revenue service, and any other taxing

 

18  authority.

 

19        Sec. 217. Except as otherwise provided in section 201(2),

 

20  language granting power with respect to gifts authorizes the

 

21  agent to make gifts of any of the principal's property to

 

22  individuals or organizations within the limits of the annual

 

23  exclusion under section 2503(b) of the internal revenue code, 26

 

24  USC 2503(b), or similar provisions later enacted, as the agent

 

25  determines to be in the principal's best interest based on all

 

26  relevant factors, including all of the following:

 

27        (a) The value and nature of the principal's property.


 

 1        (b) The principal's foreseeable obligations and need for

 

 2  maintenance.

 

 3        (c) Minimization of income, estate, inheritance, generation-

 

 4  skipping transfer, or gift taxes.

 

 5        (d) Eligibility for public benefits or assistance under a

 

 6  statute or governmental regulation.

 

 7        (e) The principal's personal history of making or joining in

 

 8  making gifts.

 

 9        Sec. 218. Language granting power with respect to delegation

 

10  of agency authority authorizes the agent to make a revocable

 

11  delegation by writing or other record to 1 or more persons of a

 

12  power granted to the agent by the principal.

 

13                            ARTICLE 3

 

14                 STATUTORY FORM POWER OF ATTORNEY

 

15        Sec. 301. The following form may be used to create a power

 

16  of attorney that has the meaning and effect prescribed by this

 

17  act.

 

18                 STATUTORY FORM POWER OF ATTORNEY

 

19                      IMPORTANT INFORMATION

 

20  This power of attorney authorizes another person, your agent, to

 

21  make property decisions for you, the principal. Your agent can

 

22  make decisions and act with respect to your property (including

 

23  your money) even if you lose capacity to act for yourself. The

 

24  meaning of powers listed in this document is explained in the

 

25  uniform power of attorney act. This power of attorney does not

 

26  authorize the agent to make medical or health care decisions for

 

27  you.


 

 

 

 1  You should select someone you trust to serve as your agent. The

 

 2  agent's authority will continue until your death unless you

 

 3  revoke the power of attorney or the agent resigns. If your agent

 

 4  is unable or unwilling to act for you, your power of attorney

 

 5  will end unless you have named a successor agent. You may also

 

 6  name a second successor agent.

 

 

 

 7  If you grant authority in this power of attorney that is

 

 8  inconsistent with authority you have already granted in another

 

 9  power of attorney, the earlier power of attorney will be revoked

 

10  to the extent of the inconsistency. This power of attorney

 

11  becomes effective immediately unless you state otherwise in the

 

12  special instructions.

 

 

 

13  Before signing this document, you should seek legal advice if you

 

14  have questions about the power of attorney or the authority you

 

15  are granting to your agent.

 

16                       DESIGNATION OF AGENT

 

 

 

17  I, _________________________________ (principal's full name)

 

18  of ________________________________________ (principal's address)

 

19  name the following person as my agent:

 

20                                                             

 

21                                                             

 

22  (full name and address of agent)

 

23            OPTIONAL DESIGNATION OF SUCCESSOR AGENT(S)


 

 1  If my agent is unable or unwilling to act for me, I name as

 

 2  my successor agent:

 

 3                                                             

 

 4                                                             

 

 5  (full name and address of successor agent)

 

 

 

 6  If my successor agent is unable or unwilling to act for me, I

 

 7  name as my second successor agent:

 

 8                                                             

 

 9                                                             

 

10  (full name and address of second successor agent)

 

 

 

11                    GRANT OF GENERAL AUTHORITY

 

12  I grant my agent and any successor agent general authority to

 

13  act for me with respect to the following subjects as defined in

 

14  the uniform power of attorney act:

 

 

 

15  (CROSS OUT any subject you DO NOT want to include in the

 

16  agent's general authority.)

 

 

 

17        • Real Property

 

18        • Tangible Personal Property

 

19        • Stocks and Bonds

 

20        • Commodities and Options

 

21        • Banks and Other Financial Institutions

 

22        • Operation of Business

 

23        • Insurance and Annuities


 

 1        • Estates, Trusts, and Other Beneficiary Relationships

 

 2        • Claims and Litigation

 

 3        • Personal and Family Maintenance

 

 4        • Benefits from Government Programs or Military Service

 

 5        • Retirement Plans

 

 6        • Taxes

 

 

 

 7                   GRANT OF SPECIFIC AUTHORITY

 

 8  My agent MAY NOT do any of the following specific acts for me

 

 9  UNLESS I have also INITIALED the blank space (___) in front of

 

10  the specific power to act:

 

 

 

11  (CAUTION: Granting any of the following powers to your agent

 

12  will give your agent the authority to take actions that could

 

13  significantly reduce your property or change how your property is

 

14  distributed at your death. INITIAL ONLY the specific powers you

 

15  WANT to include in the agent's authority.)

 

16  (___) Create, modify, or revoke an inter vivos trust

 

17  (___) Make a gift, subject to the limitations of the uniform

 

18  power of attorney act and any special instructions in this power

 

19  of attorney

 

20  (___) Create or change rights of survivorship

 

21  (___) Create or change a beneficiary designation

 

22  (___) Create in the agent or a person customarily supported

 

23  by the agent an interest in my property through gift,

 

24  survivorship right or beneficiary designation

 

25  (___) Authorize another person to exercise the agency


 

 1  authority granted under this power of attorney

 

 2  (___) Disclaim or refuse an interest in property, including

 

 3  a power of appointment

 

 

 

 4                       SPECIAL INSTRUCTIONS

 

 5  (On the following lines you may give special instructions

 

 6  limiting or extending the powers granted to your agent.)

 

 7  __________________________________________________________

 

 8  __________________________________________________________

 

 9  __________________________________________________________

 

10  __________________________________________________________

 

11  __________________________________________________________

 

12  __________________________________________________________

 

 

 

13                          EFFECTIVE DATE

 

14  This power of attorney is effective immediately unless I have

 

15  stated otherwise in the special instructions.

 

 

 

16          OPTIONAL NOMINATION OF GUARDIAN OR CONSERVATOR

 

17  If it becomes necessary for a court to appoint a conservator

 

18  or guardian of my estate or person, I nominate the following

 

19  person for appointment:

 

20                                                             

 

21                                                             

 

22  (full name and address of nominee)

 

 

 

23                RELIANCE ON THIS POWER OF ATTORNEY


 

 1  Any person, including my agent, may rely on the validity of

 

 2  this power of attorney or a copy of it unless that person knows

 

 3  it is terminated or invalid.

 

 

 

 4                   SIGNATURE AND ACKNOWLEDGMENT

 

 

 

 5                                            _________________

 

 6  Your signature                               Date

 

 

 

 7                                        

 

 8  Your name printed

 

 9                                        

 

10                                        

 

11  Your address

 

 

 

12  This document prepared by:

 

 

 

13                                                             

 

14                                                             

 

 

 

15  Signed and sworn to before me in ______________ County,

 

16  Michigan, on ______________, ______ (year).

 

 

17 Notary's Stamp                       Notary's Signature

18                                              _______________________

19                                      

20 (Notary's name, county, acting in    


county, and date commission          

expires)                             

 

 

 3                 IMPORTANT INFORMATION FOR AGENT

 

 4        When you accept the authority granted under this power of

 

 5  attorney a special legal relationship, known as agency, is

 

 6  created between you and the principal. Agency imposes on you

 

 7  duties that continue until you resign or the power of attorney is

 

 8  terminated or revoked. You must:

 

 9  (1)   do what you know the principal reasonably expects you

 

10  to do with the principal's property;

 

11  (2)   act in good faith with care, competence, and diligence

 

12  for the best interest of the principal;

 

13  (3)   avoid conflicts that would impair your ability to act

 

14  in the principal's best interest;

 

15  (4)   keep a complete record of all receipts, disbursements,

 

16  and transactions conducted for the principal;

 

17  (5)   do nothing beyond the authority granted in this power

 

18  of attorney;

 

19  (6)   preserve the principal's estate plan to the extent you

 

20  know the plan, unless preserving the estate plan is inconsistent

 

21  with the principal's best interest; and

 

22  (7)   stop acting on behalf of the principal if you learn of

 

23  any event that terminates this power of attorney or your

 

24  authority under this power of attorney.

 

25        If you have special skills or expertise, you must use those

 

26  special skills and expertise when acting for the principal. You

 


 1  must disclose your identity as an agent whenever you act for the

 

 2  principal by writing or printing the name of the principal and

 

 3  signing your own name as "agent" in the following manner:

 

 

 

 4  (Principal's Name) by (Your Signature) as agent

 

 

 

 5        The meaning of the powers granted to you is defined in the

 

 6  uniform power of attorney act. If you violate the uniform power

 

 7  of attorney act or act outside the authority granted, you may be

 

 8  liable for any damages, including attorney's fees and costs,

 

 9  caused by your violation.

 

10        You should seek legal advice if there is anything about this

 

11  document or your duties that you do not understand.

 

 

 

12                        AGENT'S ACCEPTANCE

 

13  (This statement of acceptance may be signed any time after

 

14  the principal signs the power of attorney.)

 

 

 

15  I accept appointment as agent under this power of attorney.

 

 

 

16                                        ____________________

 

17  Agent's signature                          Date

 

 

 

18                                       

 

19  Agent's name printed

 

 

 

20                                        ____________________

 


 1  Successor Agent's signature                Date

 

 

 

 2                                       

 

 3  Successor Agent's name printed

 

 

 

 4                                        ____________________

 

 5  Second Successor Agent's signature         Date

 

 

 

 6                                       

 

 7  Second Successor Agent's name printed

 

 

 

 8        Sec. 302. The following optional form may be used by an

 

 9  agent to certify facts concerning a power of attorney.

 

 

 

10  AGENT'S CERTIFICATION AS TO THE VALIDITY OF POWER OF ATTORNEY AND

 

11                        AGENT'S AUTHORITY

 

 

 

12  I, _____________________________________________ (name of

 

13  agent), certify that ______________________________________ (name

 

14  of principal) signed a power of attorney (a copy of the power of

 

15  attorney is attached to this certification) on _______________

 

16  (date), naming the undersigned as an agent or successor agent.

 

 

 

17  I further certify that to my knowledge:

 

 

 

18        (1) the principal is alive and has not revoked the power of

 

19  attorney or my authority to act under the power of attorney and

 


 1  that the power of attorney remains in full force and effect;

 

 2        (2) if the power of attorney was drafted to become effective

 

 3  on the happening of an event or contingency, that the event or

 

 4  contingency has occurred; and

 

 5        (3) if I was named as a successor agent, that the

 

 6  predecessor agent is no longer able to serve.

 

 

SIGNATURE AND ACKNOWLEDGMENT

 

___________________________ ___________________________

Agent's signature___________________ Date

10 ________________________________________

11 Agent's name printed____________________

12 ________________________________________

13 ________________________________________

14 Agent's address_________________________

 

 

15  Signed and sworn to before me in _____________ County,

 

16  Michigan, on ________________, _____(year).

 

 

17 Notary's Stamp                          Notary's Signature

18 ________________________________         __________________________

19 (Notary's name, county, acting in      

20 county, and date commission expires)   

 

 

21  This document prepared by:

 

22  ____________________________________________________________

 

23  ____________________________________________________________

 

 

 

24                            ARTICLE 4


 

 1                     MISCELLANEOUS PROVISIONS

 

 2        Sec. 401. This act shall be applied and construed to

 

 3  effectuate its general purpose to make uniform the law with

 

 4  respect to the subject matter of this act among states enacting

 

 5  it.

 

 6        Sec. 402. This act modifies, limits, and supersedes the

 

 7  federal electronic signatures in global and national commerce

 

 8  act, 15 USC 7001 to 7031, but does not modify, limit, or

 

 9  supersede 15 USC 7001(c), or authorize electronic delivery of any

 

10  of the notices described in 15 USC 7003(b).

 

11        Sec. 404. Except as otherwise provided in this act, on the

 

12  effective date of this act, all of the following apply:

 

13        (a) This act applies to all powers of attorney created

 

14  before, on, or after the effective date of this act.

 

15        (b) This act applies to all judicial proceedings concerning

 

16  powers of attorney commenced on or after the effective date of

 

17  this act.

 

18        (c) This act applies to judicial proceedings concerning

 

19  powers of attorney commenced before the effective date of this

 

20  act unless the court finds that application of a particular

 

21  provision of this act would substantially interfere with the

 

22  effective conduct of the judicial proceedings or prejudice the

 

23  rights of the parties, in which case the particular provision of

 

24  this act does not apply and the superseded law applies.

 

25        (d) An action taken before the effective date of this act is

 

26  not affected by this act.

 

27        Enacting section 1. Sections 5501 to 5505 of the estates and


 

 1  protected individuals code, 1998 PA 386, MCL 700.5501 to

 

 2  700.5505, are repealed.